REPUBLIKA CO.ID., JAKARTA - Government is urged to anticipate July’s inflation toward the upcoming of Ramadhan and Eid al-Fitr. But, as long as the fuel price can be maintained, the inflation rate is expected to increase slightly. 

"Fasting month and Eid al Fitr potentially soar the food prices," the Chief of Central Statistics Agency (BPS), Suryamin, said on Monday.

He said the price of rice, which usually became the main influence of inflation, would not contribute to this July inflation. Good weather help this season's rice harvesting.

BPS records the inflation rate rising to 0.62 percent in June 2012. The June inflation rate took the year's average inflation rate to 1.79 percent and year-on-year inflation rate to 4.15 percent. "The increasing of food prices in the regions plays a great role in the inflation rate on June 2012," he said.

The prices of red chilies, garlic, chicken, fish, sugar, liquefied petroleum gas (LPG), eggs and jeweleries rose between 10 to 80 percent in June. He explained the raising was caused by lack of supplies and a rise of animal feed price. The price of red chilies was the main contribution to the inflation because of lack of supplies. The soaring price in Padang even reached 101 percent.

However, the prices of cooking oil and fuel oil were decreasing. They contributed to the deflation last month. The price of cooking oil went down in 45 cities in Consumer Price Index (IHK). The record in BPS stated the highest inflation rate was in Ambon in 2.39 percent, while the lowest was in Bima in 0.04 percent.

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