Taiwan October CPI up 1.48%; pork sees biggest rise in 20 months

Taipei, Nov. 6 (CNA) Taiwan's consumer price index (CPI) rose 1.48 percent year-on-year in October, with pork prices surging 9.07 percent--the steepest increase in nearly 20 months--the Directorate-General of Budget, Accounting and Statistics (DGBAS) said Thursday.

Although inflation had stayed below the 2 percent alert level for six straight months, October's rise was 0.23 percentage points higher than in September, according to the agency.

Core CPI, which excludes fruit, vegetables and energy, rose 1.84 percent from a year earlier, up from 1.46 percent in September.

DGBAS specialist Tsao Chih-hung (曹志弘) attributed the uptick in CPI and core CPI to increased spending during October's three long weekends for the Mid-Autumn Festival, National Day and Retrocession Day.

Food prices climbed 2.02 percent, led by higher costs for meat (up 5.43 percent), eggs (6.69 percent), grains and processed foods (3.88 percent), and dining out (3.56 percent). Dining-out costs have risen by more than 3 percent for 12 consecutive months--the fastest pace in nearly 20 months.

The CPI for 17 essential daily goods tracked by the Executive Yuan rose 2.73 percent, also the highest in nearly 20 months, largely due to pork and egg prices.

Tsao said the jump in pork prices reflected short-term supply disruptions caused by weather, disease outbreaks and natural disasters. By late October, average wholesale pork prices had fallen below NT$100 (US$3.24) per kilogram, though retail prices were slower to adjust.

He added that a 15-day nationwide ban on live pig slaughter and transport following an African swine fever outbreak had little impact, as frozen and refrigerated pork supplies remained stable.

With the ban lifted Thursday, pork prices are expected to stabilize in November, Tsao said.

Looking ahead, he added that if typhoon-related damage remains limited, November CPI is likely to stay around or slightly below October's level.