Consumer Price Index falls by 1.9 per cent
Samoa’s Consumer Price Index (C.P.I.) fell by 1.9 per cent in October 2020 compared to the previous month, according to the Samoa Bureau of Statistics.
The figure was revealed in a new report “Consumer Price Index October 2020” issued by the Bureau.
The Consumer Price Index for October 2020 was 1.9 per cent lower than in September 2020 and was 5.8 per cent lower than October 2019.
The decrease of the Imported Goods component by 3.5 per cent from the previous month was due to lower prices for Imported food and paint, which were also the main contributors to the decrease of 1.9 percent in the All Items Consumer Price Index.
The Local Goods Component registered a decrease of 0.3 percent from the previous month.
The Consumer Price Index is a measure of inflation. It is designed to measure the change in prices for household goods purchased in Samoa.
The C.P.I. measures the change in prices by comparing the prices for chosen categories of goods on an annual and monthly basis to determine the average rate of inflation in prices.
The average rate of annual inflation for the year to October 2020 was negative 0.2 per cent. For the twelve months ending October 2019 the inflation rate was 0.8 per cent.
The 1.9 per cent decrease in the Overall Index was mainly due to a decrease of 4.8 per cent in the Food and Non Alcoholic Beverages index.
The Recreation and Culture index also registered a decrease of 0.6 per cent, while Miscellaneous Goods and Services, Housing, Water, Electricity, Gas and other Fuels and Furnishing, Household Equipment and Maintenance indices showed decreases of 0.4, 0.3 and 0.1 per cent respectively.
On the other contrary, Transport index recorded an increase of 1.0 per cent.
No changes were recorded for the Alcoholic Beverages and Tobacco, Clothing and Footwear, Health, Communication, Education and Restaurants indices.
The Imported Goods Component of the Consumer Price Index registered a decrease of 3.5 per cent when compared to the previous month. This decrease was mainly due to lower prices recorded for imported food, paint, laptop and tooth paste.
Furthermore, decreased prices recorded for local food have resulted in the 0.3 per cent decrease in the Local Good Component.
A decrease of 4.8 per cent in the Food and Non Alcoholic Beverages index was a reflection of the lower prices recorded for chicken leg quarter, raw sugar, taro, rice, banana, tomato, coconut, taamu and head cabbage.
The Recreation and Culture index recorded a decrease of 0.6 per cent lower due to the decrease in prices recorded for laptop.
Lower prices recorded for tooth paste is reflected in the 0.4 per cent decrease in the Miscellaneous Good and Services index.
However, the 1.0 per cent increase in the Transport index was a result of the higher prices recorded for fuel (petrol).
The All Items Underlying Index for October 2020 registered a decrease of 3.2 per cent when compared to September 2020, and a decrease of 6.1 per cent when compared to October 2019.
The Imported Items Underlying Index registered a decrease of 4.7 per cent, while the Local Items Underlying Index recorded an increase of 0.1 per cent from the previous month.