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Contributions of the different Items to overall Inflation
Of the total 14.4 percent annual inflation in June 2009, food products accounted for 7.0 percentage points, while non-food products in the Consumer Price Index (CPI)accounted for a total of 7.4 percentage points.
ItemPercentage Points Contributions of differentItems to overall inflation
May-09 Jun-09
Food, Beverages and Tobacco
7.9 7.0
Clothing and Footwear
0.8 0.9
Rent and household energy
102 1.1
Furniture and Household Goods
204 2.5
Medical Care
0.1 0.1
Transport (fuel, air fares, new motor vehicles)
103 1.6
Recreation and Education
0.4 0.5
Other Goods and Services
0.6 0.7
All Items
14.7 14.4
The annual food inflation rate
The annual food inflation rate was recorded at 14.1 percent in June 2009, down from16.1 percent in May 2009. Contributing most to the decline in food inflation werereductions in the cost of white breakfast meal, white roller meal, maize grain, meatand tubers (sweet potatoes). However, increases were recorded in the cost of cerealsand cereal products, fish, kapenta, fresh vegetables, dried beans, fresh milk and milk products, tea, coffee and other processed food products.
The annual non-food inflation rate
The annual non-food inflation rate stood at 14.7 percent in June 2009, up from 13.3percent in May 2009. Regarding disaggregated
groups,
the annual inflation rateincreased for clothing and foot wear; furniture and household goods; medical care;transport and communication; recreation and education; and other goods andservices and reduced for rent, fuel and lighting.
Retail prices of selected food products
A comparison of retail prices between May 2009 and June 2009, shows that thenational average price of a 25 kg bag of white breakfast meal reduced by 3.0percent, from K66,970 to K64,966, while the national average price of a 25 kg bag ofwhite roller meal reduced by 11.1 percent, from K52,202 to K46,419. The nationalaverage price of a 20 litre tin of maize grain declined by 6.8 percent, from K22,789 toK21,244. However, the national average price of 1kg of dried kapenta (Mpulungu)increased by 5.7 percent, from K49,241 to K51,812, and the national average price of1kg of tomatoes went up by 21.5 percent, from K4,003 to K4,863.
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