Inflation for the month of October showed slight easing to 8.9% from 9% in September due to a minor decline in fresh fruit and vegetable prices, monthly data released by the Pakistan Bureau of Statistics noted.
Higher food prices, however, continued toward upward trajectory on inflation as prices of food group rose 16.53% compared to Oct last year and 3.9% when compared with September 2020.
The prices of essential food items — tomatoes, onions, chicken, eggs, sugar and wheat — continue to see increase over the last couple of months. Having maximum share in the food basket, a slight increase in kitchen items raises overall inflation.
Compared to October last year, wheat price have gone up by 52.21%, wheat flour 24.67%, rice 8.6%, eggs 43.32% and sugar 32.97%.
With shortages in local production, current fiscal year started out 9.3% inflated in July, which eased to 8.2% in August before rebounding to 9% again in September.
Food prices see continuing increase of 16.5%
The average CPI between July and October eased from last year’s 10.32pc to 8.86% this year, but the average CPI in FY20 rose to 10.74%, from 6.8% in the year before — highest level since 2011-12 when it stood at 11.01%.
Food inflation is still in the double-digits, posting a rise in the outgoing month.
In urban areas, it jumped by 13.9% in October on a yearly basis and an increase of 2% on a monthly basis whereas the respective price level growth in rural areas stood at 17.7% on a yearly basis and an increase of 4.3% on a monthly basis.
In urban areas, food items whose prices jumped this month include tomatoes, up 48.36%; onions 39.07%; chicken 26.62%; eggs 23.81%; wheat 8.39%; wheat products 8.07%; sugar 4.58%; wheat flour 4.1%; besan 2.89%; pulse moong 1.69%; rice 1.45%; pulse mash 1.26%; readymade food 0.98%; gram whole 0.85%; pulse masoor 0.85%; potatoes 0.82%; pulse gram 0.81% and butter 0.78%.
Items to see prices decline in urban areas are fresh vegetables, down 6.36%, fresh fruits 3.31% and condiments and spices by 2.39%.
In contrast, the rural area prices increase was particularly seen in tomatoes, higher by 64.99% followed with onions by 58.39%; eggs 24.88%; chicken 23.14%; wheat 5.54%; sugar 4.89%; fresh vegetables 4.06%; fresh fruits 3.5%; wheat flour 3.28%; wheat products 3.07%; potatoes 3.05%; pulse masoor 2.97%; dry fruits 2.73%; honey 2.5%; fish 2.38%; bakery and confectionary 2.38%; meat 1.76%; pulse mash 1.6% and cooking oil 1.47%.
