Although there was a slight decrease in inflation for July, food prices continued to rise during the month, according to the Central Statistical Office's (CSO) Consumer Price Index.
The CSO in its Consumer Price Index release yesterday said the inflation rate percentage for July 2024 over July 2023, was 0.3 per cent which represents a decrease from 0.7 per cent recorded in the previous month (June 2024/June 2023).
The CSO said the Inflation Rate for the comparative period (July 2023/July 2022) stood at 4.7 per cent.
However, the all-items index calculated from the prices collected for July 2024 was 123.9, representing an increase of 0.2 points or 0.2 per cent above the all-items index for June 2024 as shown in the table attached.
The CSO noted that the index for food and non-alcoholic beverages increased from 148.6 in June 2024 to 149.6 in July 2024, reflecting an increase of 0.7 per cent
Increases were also noted for alcoholic beverages and tobacco of 1.7 per cent clothing and footwear at 0.1 per cent, home ownership of 0.7 per cent, rent of 0.1 per cent, health at 0.1 per cent, communication of 0.1 per cent, recreation and culture at 0.4 per cent, hotels, cafes and restaurants or 0.9 per cent and miscellaneous goods and services or 0.1 per cent.
However, it stated there were decreases in the sub-indices for furnishing, household equipment, and routine maintenance of the house of 2.2 per cent and transport of 0.5 per cent.
What is the CPI?
The consumer price index is a weighted average of the proportionate changes in the prices of a specified set or ‘basket’ of consumer goods and services between two periods.
The CPI monitors the prices of a fixed basket of goods and services in 15 areas (locale) in Trinidad and Tobago. Monthly price surveys for food and petroleum items are conducted in groceries, shops, and local markets. Prices are collected quarterly for other items that are not as variable.
The data from the household budget survey (HBS) was used to determine:
* Which items were selected for the basket of items monitored by the CPI;
* The weights of these items i.e. their relative importance compared with all other items in the basket and;
* The weights of the areas monitored by the CPI.
Changes in the CPI can be used to assess price changes associated with the cost of living. The CPI is one of the most frequently used statistics for identifying periods of inflation or deflation.
