The Samoa Bureau of Statistics revealed in its latest reports that the Consumer Price Index (CPI) for March 2024 has shown a 3.1 per cent increase compared to last year. 

This rise has been primarily driven by higher prices across various sectors, including medicine, vehicles, boat fares to Pago Pago, and household furniture.

The report indicates that the CPI rose by 0.2 per cent compared to the previous month. Graphs provided by the bureau illustrate the percentage changes in CPI across all divisions from March 2023 to March 2024.

The largest contributor to the CPI increase was the Food and Non-Alcoholic Beverages sector, which accounted for 2.4 percentage points of the overall rise. 

Within this group, significant price hikes were observed in items such as chicken leg quarters (up 13.2%), sugar (up 15.0%), prepacked rice (up 12.0%), canned fish (up 8.1%), and local produce like Chinese cabbage (up 33.6%), cucumber (up 30.4%), tomatoes (up 28.5%), and coconut (up 16.5%).

Transport was another significant contributor, with a 0.5 percentage point increase, mainly due to higher prices for new and used vehicles and boat fares to Pago Pago.

Furnishings, Household Equipment & Maintenance: Saw a 5.5% increase, largely influenced by rising mattress prices (up 46.3%).

Health noted a 14.9 per cent increase, driven by higher medication costs, particularly for Amoxicillin (up 14.2%).

Communication rose by 1.3 per cent, primarily due to increased cell phone calling charges (up 7.3%).

Miscellaneous Goods and Services contributed to the CPI increase with a 0.1 percentage point rise, attributed to higher costs for standard embalming (up 9.8%).

The Health sector recorded the largest increase at 14.9 per cent, followed by Furnishings, Household Equipment and Maintenance (5.5%) and Food and Non-Alcoholic Beverages (5.2%). 

Other notable increases were seen in Transport (3.2%), Restaurants (2.1%), Recreation (1.4%), Miscellaneous (1.4%), Communication (1.3%), and Clothing and Footwear (0.3%).

However, certain sectors experienced a decrease in prices. Alcoholic beverages, tobacco and narcotics declined by 0.6 per cent, and Housing, water, electricity, gas and other fuels decreased by 1.3 per cent. The Education index remained unchanged during this period.

Rising consumer prices, particularly in essential goods and services, can impact households and businesses, potentially affecting spending patterns and inflation rates. 

Policymakers and economists will closely monitor these trends to assess their broader economic implications and consider appropriate measures to address any resulting challenges.

The Samoa Bureau of Statistics continues to track and analyze CPI data to provide insights into economic trends and inform decision-making at both government and private sector levels.