Prices of strategic foodstuffs are observed to have started to rise and will be a contributor to inflation for November. Interestingly, the increase in food prices occurred in October and managed to free Indonesia from the deflationary trap during the third quarter.

Inflation due to the increase in basic foodstuffs prices cannot automatically be used as an indicator of purchasing power when viewed from the core inflation rate. Because the increase in food prices is very complex, there are many factors, from demand factors, stock supply to expectations of inflation. In the latest price monitoring survey, Bank Indonesia stated that there were several foodstuffs commodities that contributed to inflation in November, including fresh chicken and chilies. (CNBC 11/11/2020)

On this year, fresh broiler meat will be the main contributor to inflation. The price of fresh purebred chicken has risen in view of price movements as of 09, November 2020 in various traditional markets in the country, fresh chicken meat is priced at Rp. 34,900 per kg, up 10 percent from the previous month. Not only fresh chicken meat, but the price of eggs in traditional markets also goes up. CNBC reports that the eggs in one month have increased by about 5 percent.

In the past month, not only the poultry commodities have increased. The price of agricultural commodities also rose, one of which was chili, which increased by 15.5 percent. The increase in food prices, the government needs to anticipate the need to be watched. There are several things that need to be observed, including the year-end holiday moment because food prices at the end of the year always increase. The end of the year always experiences another natural disaster, such as floods and landslides which trigger food prices to rise.

Source : https://www.cnbcindonesia.com/news/20201110185819-8-200850/harga-pangan-selangit-ibu-ibu-menjerit