Wholesale prices of goods rise at slower pace in February

MANILA, Philippines — Wholesale prices of general goods nationwide climbed at a slower pace in February from the previous month due mainly to the lower uptick in fuel prices, according to the Philippine Statistics Authority (PSA).

Data from the PSA released yesterday showed the growth of the General Wholesale Price Index (GWPI) eased to 6.8 percent in February from seven percent in January.

The February GWPI growth, however, is faster compared to the 5.6 percent increase in the same month last year.

Tracking the changes in prices in wholesale trade, the GWPI serves as a basis for price adjustments in business contracts and projects.

“The lower annual growth in GWPI in February 2023 was primarily brought about by the downtrend in the mineral fuels, lubricants and related materials index at 5.6 percent from 14.2 percent in January 2023,” the PSA said.

Also posting lower upticks are beverages and tobacco at 6.2 percent in February from 6.3 percent in January; machinery and transport equipment at 0.6 percent from 1.1 percent the previous month; and miscellaneous manufactured articles at 2.5 percent from 3.4 percent the prior month.

The crude materials index dropped further to -31.2 percent in February from -27.2 percent in the previous month.

Chemicals, including animal and vegetable oils and fats, recorded a 1.2 percent contraction in February from a positive growth of 0.1 percent in the previous month.

Only manufactured goods classified chiefly by materials posted faster growth at 6.1 percent in February from 3.9 percent in January, while food products retained the January growth rate of 14.2 percent.

In the January to February period, GWPI growth averaged 6.9 percent.

Just like the trend at the national level, the GWPI growth in Luzon slowed down to seven percent in February this year from 7.2 percent in January this year, but was faster than the 5.9 percent in February 2022.

The PSA attributed the downtrend in GWPI in Luzon primarily to the slower increase in mineral fuels, lubricants and related materials at 5.4 percent in February from the previous month’s 14.8 percent.

Slower increments were also posted by beverages and tobacco; machinery and transport equipment; and miscellaneous manufactured articles, while crude materials, inedible except fuels; and chemicals, including animal and vegetable oils and fats declined further in February compared to January.

GWPI growth in the Visayas picked up at a faster rate of 5.3 percent in February this year from 4.9 percent in January 2023, and 3.5 percent in February last year.

“The increase in manufactured goods classified chiefly by materials at 2.7 percent primarily caused the uptrend in the GWPI in Visayas,” the PSA said.

It said higher increases were also seen in food, as well as beverages and tobacco.

In Mindanao, the GWPI rose at a slower pace of 5.1 percent in February this year from 5.5 percent in January this year, but was faster than the 3.2 percent uptick in February 2022.

“The lower annual growth in GWPI in Mindanao was primarily brought about by the downtrend in the food index at 8.8 percent in February 2023 from 10.3 percent in January 2023,” the PSA said.