RTT News
4th Feb 2008
2/4/2008 1:19:41 AM A report from Singapore's Ministry of Trade and Industry, released Sunday, that the nation had one of the lowest rates of food inflation during 2005 to 2007.
A survey of 14 countries showed that Singapore's food price inflation remained lower compared to other countries during 2005 to 2007. At the same time, the report revealed that the nation is not an exception from the general increase in global food prices.
Food prices rose 1.3%, 1.6% and 2.9%, respectively in 2005, 2006 and 2007. Meanwhile, China recorded a sudden increase of 12.3% in 2007, after rising 2.3% and 2.9% in 2006 and in 2005.
Indonesia registered a food inflation rate of 11.4%, smaller than 14.7% seen in 2006 and higher than 10% witnessed in 2005.
The ministry asserted that Singapore's open and competitive environment helped in maintaining food prices less pronounced than other nations despite being a large importer of food products.
The report showed that the Agri-Food & Veterinary Authority of Singapore, a government initiative, helped to reduce food inflation by diversifying food sources. In addition, the Ministry noted that businesses have also played a responsible role in moderating the pace of increases by limiting the full extent of price increases in their inputs immediately.
Imported food prices increased 12.1% between December 2006 and 2007, outstripping the 7.1% increase in the non-cooked food component of the Consumer Price Index over the same 12-month period.
http://www.rttnews.com/forex/economicnews.asp
