Philippines On Course to Mitigate Food Inflation, NEDA Reports Optimism

MANILA – The National Economic Development Authority (NEDA) has expressed confidence in the Philippines’ ability to reduce food inflation in the near future. During a recent Palace press briefing, NEDA Secretary Arsenio Balisacan conveyed optimism regarding the nation’s trajectory towards managing the inflationary pressures that have been affecting food prices.

According to Philippines News Agency, Secretary Balisacan pointed to a combination of issues that spurred the high food inflation in June 2024, including severe drought conditions triggered by El Niño, unstable global supply chains, and outbreaks of African swine fever. These factors, he noted, have had a significant impact on agriculture, prompting focused governmental actions to counteract these challenges. Balisacan also highlighted a substantial increase in the proposed 2025 budget for the Department of Agriculture, which he believes will play a crucial role in stabilizing food prices.

The recent statistics released by the government show a slight deceleration in the country’s headline inflation, dropping to 3.7 percent in June from 3.9 percent in May, remaining within the targeted range of 2 percent to 4 percent. However, food inflation itself rose to 6.5 percent, up from 6.1 percent in the previous month, driven mainly by the increased costs of vegetables, meat, and corn.