The consumer price index (CPI) last month rose 2.72 percent, easing from September’s 2.76 percent advance, as international energy prices stabilized, but food and entertainment costs gained momentum following the reopening of national borders on Oct. 13, the Directorate-General of Budget, Accounting and Statistics (DGBAS) said yesterday.
The inflationary gauge could decelerate this month if oil prices continue to fall, easing the pressure on imported inflation, DGBAS official Tsao Chih-hung (曹志弘) told an online news conference in Taipei.
The core CPI, a more reliable long-term price tracker as it excludes volatile items, hit a 14-year-high of 2.96 percent, accelerating from 2.8 percent in September and 2.74 percent in August.
Photo: CNA
Tsao said a 3.15 percent increase in entertainment costs pushed up the core CPI last month.
“Hotels, recreational facilities and travel agencies raised charges on expectation of business improvement after Taiwan lifted border controls on Oct. 13,” Tsao said, adding that discounts linked to disease control measures also came to an end.
That helped explain a 6.4 percent increase in dining costs, the official said.
Food costs, the largest component of the index with a 25 percent weighting, rose 5.17 percent, as egg prices soared 34.53 percent and the cost of meat gained 5.84 percent, the agency said.
Prices of processed food, vegetables and milk products also rose in line with more expensive feed and purchasing costs, it said.
Housing and living expenses increased 2.42 percent, as landlords raised rent rates and home repairs became more costly, the agency said.
Prices of miscellaneous items rose 2.22 percent and transportation costs picked up 1.54 percent, it added.
People had to pay more to buy beauty and hygiene products as well as jewelry, the DGBAS said.
The CPI reading edged up 0.12 percent after seasonal adjustments and rose 0.26 percent from one month earlier, it said.
The wholesale price index (WPI), a measure of commercial production costs, grew 11.09 percent, while the producer price index gained 8.68 percent, the agency said.
Imported goods edged up 0.23 percent in US-dollar terms, but spiked 14.74 percent in New Taiwan dollar terms, as the local currency weakened 12.64 percent against the greenback, making imported inflation more evident, Tsao said.
The situation would likely improve this month if foreign exchange rates become more favorable, he said.
In the first 10 months of this year, the CPI grew 3.04 percent, while the WPI gained 13.4 percent, the DGBAS said.
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