REPUBLIKA.CO.ID, JAKARTA -- Indonesia will record deflation in April if the government manages to control the prices of commodities including onion and red chili, the Central Statistics Agency (BPS) said.

"If the prices of onion, garlic, red chili and bird's eye chili can be controlled, I believe the country has a chance to record deflation in April," BPS Deputy Chief for Distribution and Service Statistics Sasmito Hadi Wibowo said here Friday.

The prices of onion and chili, which rose significantly due to limited supplies, were the biggest contributors to the 0.19 percent inflation rate in March 2016, Sasmito said.

Therefore, the government must always monitor the prices of the two commodities, while the prices of other basic commodities, including rice, egg, and chicken meat were relatively stable and even declined in March, he said.

The harvest time in April, coupled with the government's decision to lower public transport tariffs and electricity tariffs following a decline in fuel oil prices, will contribute to the expected deflation in April, he said.

"Hopefully, the fuel oil prices will be stable and the inflation rate will be stable accordingly. Fuel oil prices are among the components which largely contribute to the inflation rate," he said.

Among the components which have the potential to increase the inflation rate in April will be the adjustment of BPJS (social security management agency) fees, the upward trend of gold prices and the rising price of frying oil, he predicted.

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