A. Sarangani Province

1. Overall Inflation

The headline inflation in Sarangani Province dropped to 0.5 percent in November 2024 from 1.2 percent in October 2024. This was lower than both the regional and national levels at 1.7 percent and 2.5 percent, respectively. In November 2023, the inflation rate was higher at 5.4 percent. The provincial average inflation rate for the last eleven (11) months of the year registered at 3.7 percent. (Table A and Figure 1)

1.1 Main Drivers to the Downward Trend of the Overall Inflation

The decrease in the province’s inflation rate in November 2024 was primarily influenced by the static movement of prices in food and non-alcoholic beverages at zero inflation. Followed by health at 1.9 percent in November 2024 from 2.2 percent in October 2024.

On the contrary, the following commodity groups registered faster annual increments during the month:

a. Alcoholic beverages and tobacco, 2.8 percent from 2.2 percent;
b. Clothing and footwear, 1.1 percent from 0.4 percent; 
c. Housing, water, electricity, gas and other fuels, 0.4 percent from -1.6 percent; 
d. Furnishings, household equipment and routine household maintenance, 1.0 percent from -0.3 percent;
e. Transport, -0.2 percent from -2.1 percent;
f. Recreation, sport and culture, 4.7 percent from 4.6 percent; and 3.9 percent. (Table B)

The following are the commodity groups that retained their previous month’s inflation rates:

a. Information and communication, at 0.3 percent;
b. Education services, at zero percent;
c. Restaurants and accommodation services, at zero percent; and
d. Financial services, at zero percent. (Table B)
 

1.2 Main Contributors to the Overall Inflation

The following commodity groups were the top three contributors to the November 2024 overall inflation for all income households:

a. Personal care, and miscellaneous goods and services with 41.7 percent share or 0.2 percentage point;
b. Alcoholic beverages and tobacco with 19.4 percent share or 0.1 percentage point; and
c. Housing, water, electricity, gas and other fuels with 12.0 percent share or 0.1 percentage point.

2. Food Inflation

Food inflation at the provincial level decreased to -0.2 percent in November 2024 from 2.5 percent in October 2024. In November 2023, food inflation was higher at 8.7 percent. (Table C)

2.1 Main Drivers to the Downward Trend of the Food Inflation

The deceleration of food inflation in November 2024 was due to the slower inflation rate in cereal and cereals products with -5.2 percent from 3.2 percent in October 2024, particularly, rice with -3.6 percent inflation in November 2024 from 5.6 percent of the previous month. This was followed by corn with -14.0 percent during the month from -5.0 percent in October 2024. The index of fish and other seafood also contributed to the downtrend with 4.9 percent during the month from 6.2 percent in October 2024. (Table C)

Slower annual growth rates during the month were also recorded in the indices of the following food groups:

a. Flour, Bread and Other Bakery Products, Pasta Products,  and Other Cereals, -2.5 percent from 3.8 percent;
b. Meat and other parts of slaughtered land animals, -0.7 percent from -0.4 percent;
c. Milk, other dairy products, and eggs, 6.0 percent from 7.1 percent; 
d. Fruits and nuts, 7.6 percent from 12.7 percent; and
e. Ready-made food and other food products n.e.c., 5.0 percent from 7.2 percent. (Table C)

In contrast, faster annual increments were noted in the indices of the following food groups during the month:

a. Oils and fats, 15.5 percent from 6.5 percent;
b. Vegetables, tubers, plantains, cooking bananas and pulses, 1.4 percent from  -8.4 percent; and
c. Sugar, confectionery and desserts, -7.2 percent from -9.5 percent. (Table C)

2.2 Main Contributors to the Food Inflation

Among the food groups, the main contributors to the food inflation during the month were the following:

a. Cereals and cereal products, which includes rice, corn, flour, bread and other bakery products, pasta products, and other cereals, with 626.9 percent share or -1.3 percentage point;
b. Sugar, confectionery and desserts, with 62.3 percent share or -0.1 percentage point; and
c. Meat and other parts of slaughtered land animals, with 21.2 percent share or -0.04 percentage point.

The Purchasing Power of Peso (PPP) in Sarangani Province retained to 0.77 in November 2024. This means that a peso in 2018 is only worth 0.77 centavos in November 2024, or you would need PhP 130.50 to purchase the same volume of goods and services that cost Php 100.00 in 2018.

The PPP is inversely related to inflation rate. Therefore, as the inflation rate decreases, PPP inclines. In Sarangani Province, PPP has been decreasing on the average of 0.04 annually from 2018 to 2023. By comparison, the PPP in 2023 was 0.78 which implies that the PhP 1.00 in 2018 as the base year, values only Php 0.78 in 2023. (Figure 2)