2011 ends with high inflation note

31 December 2011
By An Sithav
Radio Free Asia
Translated from Khmer by Soch
Click here to read the original article in Khmer

General price inflation reached more than 6% in December 2011.

A number of fish and meat sellers along markets in Phnom Penh indicated the price of meat increased during the last 2 to 3 months before the end of 2011.

Mean Soy, a beef seller in O’Russei market, indicated that the daily price of beef is 30,000 riels (~$7.50) per kilo for good meat and 28,000 riels (~$7.00) for normal meat. Compared to 2 to 3 months earlier, there is a price increase.

Mrs. Thach Srey Mao, a fish seller in Tuol Tompung market, indicated that the price of fish did not change, a price of one kilo of fresh fish is 14,000 riels (~$3.50), i.e. lower than what it was 2 or 3 months earlier.

Survey by the Economic Institute of Cambodia (EIC) in December 2011 showed that the price of a number of items in Phnom Penh increased when compared to last year, however a number of other times did not see any price change. The EIC survey showed that a price of a liter of gasoline – 5,000 riels ($1.25) – has increased by 9% when compared to last year. The price of rice increases by 9%, beef increases by more than 31%, pork increases by more than 21% and chicken price increases by 9% when compared to last year. However, the price of fish drops by 1% when compared to December of last year.

Meat is not the only item that saw a price increase, a number of agricultural products also saw their price increases at the end of the year.

Heng, a corn buyer from Kampong Cham, said that the price of corn has increased during the year end. He indicated that one kilo of dried corn is about 13,000 riels (~$3.25) whereas one kilo of fresh corn costs 9,500 riels (~$2.40).

At the latest statistics conducted at the end of November 2011, the price of a number of agricultural products increases up to 73%, the price of cassava increases by 24%, corn by 11%, sesame by 9%, beans by 25%, however the price of rice increases only by 1% only, according to price set in Phnom Penh and Kampong Cham.

Khin Pisey, a researcher for the EIC, indicated that price inflation in 2011 is slightly higher than 6%. He indicated that monthly(?) inflation for this year will hover between 5 and 6% also.

Khin Pisey added that inflation rate of 6% will not influence consumers, but he said that if the inflation rate increases by more than 10%, it will affect everyone, especially the poor.