"So the inflation rate in the January-April 2011 period is still below 1 percent."
Jakarta (ANTARA News) - Indonesia saw a deflation rate of 0.31 percent in April due to a drop in the prices of staple foods, the Central Statistics Agency (BPS) said.

"April`s deflation is almost the same as March when it was -0.32 percent," BPS Rusman Heriawan said here on Monday.

The prices of staple foods fell 0.48 percent from the month before, contributing the biggest to April`s deflation. Meanwhile, an increase in the prices of processed foods, drinks, cigarettes and tobacco contributed an inflation rate of 0.03 percent, he said.

Among the staple foods, onion which fell by an average of 0.13 percent last month was the major contributor to the deflation, followed by red chili 0.11 percent, chili 0.11 percent, cooking oil 0.08 percent, and rice 0.06 percent.

The other commodities such as chicken meat and eggs contributed a deflation of 0.03 percent.

"The commodity that had a significant impact on inflation was gold jewelry which rose 0.05 percent," he said.

Overall, volatile prices saw a deflation rate of 0.49 percent and administered prices recorded an inflation rate of 0.04 percent. Core inflation meanwhile contributed an inflation rate of 0.25 percent.

"Despite a drop, the inflation rate reached 6.16 percent year-on-year with core inflation standing at 4.62 percent year-on-year," he said.

Rusman said the government`s decision to postpone a plan to limit the use of subsidized fuel oils had created situations conducive to the inflation rate in the first four months of 2011.

As a result, the calendar inflation rate in the year to April stood at 0.39 percent, he said.

"So the inflation rate in the January-April 2011 period is still below 1 percent," he said.

He said 57 of 66 cities surveyed last month saw deflation and 9 cities recorded inflation. The highest deflation rate of 1.57 percent occurred in Jambi, followed by Palu and Pematang Siantar 1.47 percent respectively.

Ternate recorded the highest inflation rate of 0.52 percent, followed by Balikpapan 0.45 percent.
(Uu.S012/H-NG/A014)

Editor: Priyambodo RH
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