June inflation: Fruit, vegetables, eggs, dairy cheaper in Georgia

Georgia’s monthly inflation rate dropped -0.9% in June 2016, said Geostat. Photo by N. Alavidze/Agenda.ge.
Agenda.ge, 04 Jul 2016 - 11:49, Tbilisi,Georgia

Buying fruit, vegetables, eggs and dairy products is becoming cheaper in Georgia, latest inflation rates show.

The cost of several basic food items was lower in June 2016 however prices were substantially higher for transport services, said the National Statistics Office of Georgia (Geostat), which today published its latest inflation data.

The figures showed Georgia’s monthly inflation rate had dropped to -0.9 percent in June 2016.

Meanwhile the Consumer Price Index change (annual inflation rate) posted a 1.1 percent increase year-on-year (y/y) and the Index rose 15.5 percent compared to 2010, said Geostat.

Why has inflation decreased?

In June 2016 monthly inflation decreased following price changes to several commodities in the consumer basket including food and non-alcoholic beverages. The prices in this group decreased 2.6 percent and contributed -0.79 percentage points to the overall monthly inflation rate.

Geostat said this change was mainly attributable to price declines for the following subgroups:

  • Fruit and grapes (-18.3 percent);
  • Vegetables (-11.3 percent);
  • Milk, cheese and eggs (-2.8 percent).

Meanwhile last month transport prices increased 1.7 percent, contributing 0.19 percentage points to the overall monthly inflation rate.

Prices were substantially higher for transport services (2.2 percent).