Inflation holds steady at 1.7% in October as rice prices continue to decline
Philippine inflation remained steady at 1.7% in October, below last year’s 2.3% and within the government target. Lower rice prices helped offset increases in fish, oils, and fuel-related costs. Rice prices fell sharply year-on-year, while some food groups saw slight increases. Officials warned of possible price pressures from weather and transport costs.
The country’s inflation rate held steady at 1.7 percent in October, unchanged from the previous month and lower than the 2.3 percent recorded in October 2024, the Philippine Statistics Authority (PSA) reported on Wednesday, Nov. 5.
Headline inflation averaged 1.7 percent during the first 10 months of 2025, below the government’s two- to four-percent target range of annual consumer price increases deemed manageable and conducive to economic growth.
PSA data showed that the main drivers of inflation last month were housing, electricity, gas, and other fuels, which contributed 34.6 percent or 0.6 percentage point (ppt) to the overall headline rate.
Other major contributors to the stable inflation rate were restaurants and accommodation services, with a 14.6-percent share or 0.2 ppt, and food and non-alcoholic beverages, with a 13-percent share or 0.2 ppt.
National Statistician Claire Dennis S. Mapa noted that while rice and corn recorded faster negative inflation rates of 17 percent and 8.1 percent, respectively, challenges persist in other food groups. He said inflation for fish and other seafood rose to 8.2 percent in October from 7.9 percent in September.
The PSA also reported that inflation for oils and fats rose slightly to 9.4 percent in October from 9.3 percent in September, while fruits and nuts shifted from a positive inflation rate of 0.5 percent in September to a deflation of 1.4 percent in October.
“Rice is still going down in terms of month-on-month, but there are other items in the basket that are also increasing,” Mapa said.
Mapa reported that the average price of regular milled rice dropped to ₱40.09 per kilo in October from ₱50.22 in the same month last year, reflecting a 20.2-percent year-on-year decline. He added that prices also inched lower from ₱40.23 in September, indicating a continued month-on-month decrease of 0.3 percent.
For well-milled rice, Mapa said the average price fell to ₱46.49 per kilo in October from ₱55.28 in the same month last year, marking a 15.9-percent year-on-year decline. He added that the price was almost unchanged from ₱46.50 in September, indicating stable month-on-month movement.
For special rice, Mapa reported that the average price dropped to ₱56.39 per kilo in October from ₱63.97 in the same month last year, reflecting an 11.2-percent year-on-year decline.
“We can see, particularly the regular milled rice—it has a big year-on-year drop in terms of prices. This is about ₱10 per kilo, year-on -year, the average reduction in prices,” he added.
Mapa added that meat inflation declined from six percent to 5.2 percent, while vegetable price increases, though slowing down, remained elevated, easing from 19.4 percent to 16.6 percent. He also noted that, month-on-month, prices dropped more sharply in October compared to September.
PSA data also showed that inflation in October remained unchanged from the previous month for several sectors, including household operations, education services, and restaurants and accommodation.
Mapa also warned of potential inflationary pressures in November and December, particularly in transport—covering fuel, diesel, and gasoline—as well as in food items such as fish, meat, and weather-sensitive vegetables following recent typhoons.
In a statement, Department of Economy, Planning, and Development (DEPDev) Secretary Arsenio M. Balisacan said the steady inflation rate in October reflects the government’s proactive efforts to manage supply conditions and protect households from potential price increases.
“The steady headline inflation rate shows that our coordinated interventions are helping to maintain adequate supplies and keep essential goods affordable. We remain vigilant in managing risks from weather disturbances, global market volatility, and other domestic factors that may affect prices in the coming months,” he added.
The DEPDev chief also said that the Marcos Jr. administration’s initiatives to stabilize prices and ensure sufficient supplies of essential goods have helped keep inflation under control, safeguarding household welfare and supporting sustained, inclusive growth.
“The Department of Agriculture (DA) has authorized the importation of various vegetables to help mitigate the impact of weather disruptions. To improve long-term efficiency, the DA is prioritizing farm-to-market roads, rice-processing plants, and agri-food hubs that will strengthen supply chains and reduce post-harvest losses,” Balisacan said.
Balisacan added that the Department of Energy (DOE) is fast-tracking the adoption of electric vehicles (EVs) by incorporating charging stations into utility development plans, simplifying registration and certification procedures, and promoting the use of renewable energy (RE) in charging facilities.
He added that last Oct. 25, President Ferdinand R. Marcos Jr. issued Executive Orders (EO) Nos. 100 and 101 to strengthen food security and support farmers and fisherfolk. EO 100 sets a floor price for palay to ensure fair returns for producers, while EO 101 orders the full implementation of Sagip Saka Act to expand market access, financing, and capacity-building programs for farmers and fisherfolk.
“Beyond stabilizing prices, the Marcos Jr. administration continues to pursue long-term reforms to enhance productivity and resilience in the economy,” Balisacan said, emphasizing that continued investments in agriculture, energy, and logistics infrastructure are essential to maintaining price stability and advancing the country’s goal of rapid, sustained, and inclusive growth.
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Source : Manila Bulletin
