Senior Reporter
geisha.kowlessar@guardian.co.tt
Higher prices for food and more money for cable bills contributed to the increase in the inflation rate from 0.5 per cent in April to 0.9 per cent in May, says economist Dr Marlene Attzs.
On Monday, the CSO announced that the May 2024 inflation rate, which measures the percentage change in the all-items index for the month of May 2024 over May 2023, was 0.9 per cent.
This represented an increase from 0.5 per cent which was recorded in the previous period (April 2023/April 2024).
The inflation rate for the period (May 2023/May 2022) was 5.7 per cent.
Noting the CSO specified some categories where there were upward trends between May 2023 and May 2024, Attzs told Guardian Media, “For example, the CSO says that the average cost of communications increased by 8.5 per cent, healthcare by 7.9 per cent and food and non-alcoholic beverages increased by 3.1 per cent. All of these categories will affect the average citizens through things like higher cable bills, higher costs of medicines, and of course, higher costs associated with buying food either buying ingredients to cook food or buying prepared food.”
On the issue of the increase in food prices, she said this is something that would resonate with the population. She said the CSO noted there was an upward movement in some food items, with increases cited for white flour and parboiled rice.
There were also increases in agricultural products produce such as tomatoes, celery, cucumbers and pumpkin, Attzs noted adding, “And those who visit markets will appreciate that prices have, in fact, increased. The good thing is the CSO is also saying the increased prices for these items would have been offset or balanced off by a general decrease in the prices other food items, including things like fresh whole chicken, fresh fish, among others. So, there was a net impact but the net impact was actually a higher increase.”
The CSO indicated that the full impact of these price increases were offset by the general decrease in the prices of fresh whole chicken, soya bean oil, fresh carite, table margarine, ochroes, fresh king fish, onions, plantains, cornflakes and tea in bags.
However, Attzs emphasised the net impact was an increase in food prices.
With the rainy season in full force, Attzs advised that one of the issues the buying population needs to take cognisance of is how the rain will affect the availability and price of local agricultural produce. She said the expected increase in the price of local agricultural produce may well impact on food prices moving forward.
“So, it’s something that we need to keep an eye on,” she maintained.
