Thailand’s headline inflation rate for June was down for the third consecutive month, largely due to the falling prices of fuel and fresh food, said Poonpong Naiyanapakorn, director of the Commerce Ministry’s Trade Policy and Strategy Office, today.
The inflation rate for the third quarter is forecast to be close to that of the second quarter, ranging between 0.0% and -1.0%, but it is not yet classifiable as deflation.
The consumer price index (CPI) for June was 100.42, compared to 100.67 for the same period last year, resulting in headline inflation for June of 0.25%, thanks to falling fuel and electricity prices and a substantial price drop for fresh fruit and vegetables.
Prices of some items, such as pork and pre-cooked food, have increased though, but with little impact on headline inflation.
Poonpong said that Thailand was ranked 6th among 137 economies for its low inflation. It has the lowest inflation of all 10 ASEAN member countries.
Prices of non-food items, such as gasohol, diesel, electricity, soap, shampoo, toothpaste, skin care products, clothes and cleansing fluid, have dropped by an average of 1.45%.
Prices of ready-made food, non-alcoholic drinks and meat have increased by an average of 1.64%.
The CPI for June was slightly higher than in May, up by 0.02%, in line with the price increases in food and non-alcoholic drinks.
Poonpong said that the government has rolled out some continuous measures to reduce the cost of living, by reducing the fuel tariff (FT) on electricity, for May-August, by 17 satang/unit, to 3.98 baht/unit.
The headline inflation rate for the whole year is forecast to be between 0.0% and 1.0%, which is in line with the current economic situation.
