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Contributions of the different Items to overall Inflation
Of the total 14.7 percent annual inflation in May 2009, food products accounted for 7.9percentage points, while non-food products accounted for a total of 6.8 percentagepoints.
Percentage Points Contributions of differentItems to overall inflationItem
Apr-09 May-09
Food, Beverages and Tobacco
7.8
7.9
Clothing and Footwear
0.6 0.8
Rent and household energy
1.2 1.2
Furniture and Household Goods
1.8 2.4
Medical Care
0.1 0.1
Transport (fuel, air fares, new motor vehicles)
1.8 1.3
Recreation and Education
0.5 0.4
Other Goods and Services
0.5 0.6
All Items
14.3 14.7
The annual food inflation rate
The annual food inflation rate was recorded at 16.1 percent in May 2009. This was anincrease from 15.9 percent in April 2009. Contributing most to the increase in foodinflation were increases in the cost of white breakfast meal, cereals and cerealproducts, meat, fish, kapenta, fresh vegetables, fresh milk, tea and coffee, sugar, tablesalt and other processed food products. However, reductions were recorded in thecost of some food products such as maize grain, white roller meal, dried beans, sweetpotatoes, shelled groundnuts and fresh fruits.
The annual non-food inflation rate
The annual non-food inflation rate stood at 13.3 percent in May 2009. This was anincrease from 12.7 percent in April 2009. Regarding disaggregated groups,
the annualinflation rates increased
for clothing and footwear; rent, fuel and lighting; furniture andhousehold goods; and other goods and services; and reduced for medical care;transport and communication; and recreation and education.
Retail prices of selected food products
A comparison of retail prices between April 2009 and May 2009, shows that the nationalaverage price of a 25 kg bag of white breakfast meal increased by 2.2 percent, from K65,543to K66,970. However, the national average price of a 20 litre tin of maize grain declined by12.4 percent, from K26,015 to K22,789. The national average price of a 25 kg bag of whiteroller meal reduced by 4.6 percent, from K54,732 to K52,202. The national average price of 1kg of dried kapenta (Mpulungu) increased by 4.7 percent, from K47,023 to K49,241, and thenational average price of 1kg of tomatoes went up by 24.9 percent, from K3,204 to K4,003.
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