Taiwan’s inflation continued to climb in October with the consumer price index rising 2.36 percent year on year, pushed up by a lower comparison base and surging fruit and vegetable prices.
The increase, which was generally in line with Directorate-General of Budget, Accounting and Statistics expectations, is the 26th consecutive month inflation has risen in Taiwan. August saw the highest increase for this year at 3.43 percent.
Wang Shu-chuan, a DGBAS section chief, said Nov. 5 that prices for fruit and vegetables jumped 18.85 percent and 11.57 percent, respectively. “But these were offset somewhat by steady drops in the prices of consumer electronics, meat and telecommunication services,” she added.
For the first 10 months of the year, Wang said Taiwan’s CPI was up 2 percent as a result of significant price hikes of fresh produce triggered by the third quarter typhoon season.
In comparison, CPI gains in Singapore were 4.8 percent, Hong Kong 4.1 percent, mainland China 2.8 percent and South Korea 2.3 percent.
Wang expects Taiwan’s CPI to trend down toward the end of the year as prices for fresh produce and commodities gradually stabilize. “Weak domestic consumption and a low comparison base may further depress price levels,” she said
The DGBAS forecasts Taiwan’s CPI to rise 1.87 percent in the fourth quarter, with the annual increase capped at 1.93 percent. (JSM)