Wholesale prices post faster growth in July

MANILA, Philippines — Wholesale prices of goods grew at a quicker pace in July from the previous month due to higher increases in food and chemical prices, according to the Philippine Statistics Authority (PSA).

Data from the PSA showed the General Wholesale Price Index (GWPI) growth at the national level rose to 4.5 percent in July from four percent in June.

This, however, is lower than the eight percent uptick in July last year.

The GWPI, which measures the changes in commodity prices in wholesale trade, is used as a basis for price adjustments in business contracts and projects.

“The annual increase of the GWPI in the Philippines was primarily brought about by the higher annual uptick in the index of chemicals including animal and vegetable oils and fats at 0.5 percent in July 2023 from an annual drop of -0.6 percent in the previous month,” the PSA said.

Also driving the faster GWPI growth was food as it posted an 8.8 percent uptick in July from 8.5 percent in the previous month.

Manufactured goods classified chiefly by materials, and miscellaneous manufactured articles, which both registered higher growth of 5.2 percent in July from 5.1 percent in June, were likewise cited as drivers of the faster GWPI growth.

Moreover, slower declines were recorded in the indexes of crude materials, inedible except fuels at -13.6 percent in July from -23.5 percent in June, and mineral fuels, lubricants and related materials at -18.3 percent in July from -20.5 percent in the previous month.

For the January to July period, GWPI growth averaged 5.2 percent.

Like the national level, GWPI growth in Luzon went up to 4.6 percent in July from the previous month’s 4.1 percent.

The PSA attributed the uptrend of GWPI growth in Luzon to price increases in chemicals; food; beverages and tobacco; and miscellaneous manufactured articles.

In the Visayas, GWPI growth also picked up to 3.9 percent in July from 3.5 percent in June.

The PSA said the higher increase in food prices primarily caused the uptrend.

In Mindanao, the GWPI likewise registered higher growth of 4.3 percent in July from 3.4 percent in June.

The higher GWPI growth in Mindanao was driven mainly by the faster upticks in food prices.