Between December 2020 and May 2021, the average cost of airline tickets in Costa Rica increased 18%, a variation that is explained by the increase in fuel prices and the depreciation of the local currency.
One of the sectors with the highest contribution to the variation of the Consumer Price Index (CPI) in May was Transportation. According to the National Institute of Statistics and Census (INEC), gasoline, airline tickets and tourist packages abroad were among the main items with the greatest positive effect on the price level.
Discounts and offers, increase in the price level generally and the rise in operating costs due to new health and safety protocols are the main threats to the profitability of companies in this new commercial reality.
Given this context of economic and health crisis, which derives from the outbreak of covid-19 at the global level, Ariel Baños, a specialist in price management and founder of Fijaciondeprecios.com, explains what are the main threats that could affect the profitability levels of companies, and details some strategies that could be applied to mitigate the adverse effects.
After the Consumer Price Index reported a 2.03% year-on-year variation at the end of 2018, in December 2019 the inflationary rhythm dropped to 1.52%.
The groups with greater contribution to the variation of the CPI in December 2019 were: Food and non-alcoholic beverages and Transportation, reported the National Institute of Statistics and Census (INEC).
In Costa Rica, the inflationary rhythm slowed for the fourth consecutive month, as in November the CPI reported a year-on-year variation of 1.86%, below the 2.07% reported in October.
During November, the goods and services that showed the greatest positive effect were: onion, gasoline and tourist packages. On the other hand, automobiles, papaya and tomatoes were among the main ones with the greatest negative effect, informed the National Institute of Statistics and Census.
The inflationary rhythm slowed for the third consecutive month, as in October the CPI reported a 2.07% year-on-year variation, below the 2.53% reported in September.
The groups with the greatest contribution to the variation of the CPI in October are: Transport, and Food and non-alcoholic beverages. Of the 315 goods and services that make up the consumption basket, 49% increase in price, 40% decreased in price and 11% showed no variation, informed the National Institute of Statistics and Censuses.
In September, the Consumer Price Index reported a 2.5% year-on-year variation, down from 2.9% in August.
Of the 315 goods and services that make up the consumption basket, 50% increase in price, 39% decreased in price and 11% showed no variation, reported the National Institute of Statistics and Censuses.
The official report explains that "... During September, the goods and services showing the greatest negative effect are: gasoline, potato and tomato. On the other hand, automobiles, canned tuna and papaya were among the main ones with the greatest positive effect.
During July in Costa Rica, the Consumer Price Index reported a 2.9% year-on-year variation, a rise that is partly explained by the behavior of food and non-alcoholic beverage prices.
Of the 315 goods and services that make up the consumption basket, 61% increased in price, 35% decreased in price and 4% showed no variation, reported the National Institute of Statistics and Censuses.
Out of the 315 goods and services that make up the consumption basket, 52% increased in price, 36% decreased in price and 12% showed no variation.
Of the 315 goods and services that make up the consumption basket, 52 % increased in price, 36 % decreased in price and 12 % showed no variation, informed the National Institute of Statistics and Censuses (INEC).
In the third month of the year, the year-on-year variation of the Consumer Price Index was 1.4%, below the increases of 1.7% and 1.5% recorded in January and February 2019.
During March, the goods and services showing the greatest negative effect were: automobiles, airline tickets and eggs. On the other hand, beans, pizza and domestic service were among the main ones with the greatest positive effect, reported the National Institute of Statistics and Census (INEC).
In the second month of the year, the year-on-year change in the Consumer Price Index was 1.5%, below the 2.2% increase recorded in February 2018.
During February, the goods and services with the greatest positive effect were: automobile, primary education and junior high school. On the other hand, gasoline, papaya and tomato were among the main with the greatest negative effect, reported the National Institute of Statistics and Census (INEC).
The consumer price index did not show any major changes in January, as it barely varied by 0.05% with respect to December, mainly because of the Transport and Education prices.
Of the 315 goods and services included in the consumption basket, 57% increased in price, 36% decreased in price and 7% showed no variation, informed the National Statistics and Census Institute.
In the eleventh month of the year, the consumer price index registered a monthly variation of 0.42%, mainly because of the positive effect of the prices of airline tickets and domestic services.
From the report of the National Institute of Statistics and Censuses of Costa Rica:
In November 2018, the general index level was 104.303, compared to 103.864 in the previous month.
After a 2.2% year-on-year inflation was reported in September, during October the inflationary rate was reduced to 2%.
From the report of the National Institute of Statistics and Censuses of Costa Rica:
From the 315 goods and services that are part of the consumption basket, 51% increase in price, 36% decreased in price and 13 % did not present variation.
The consumer price index recorded a monthly variation of 0.22% in the ninth month of the year, mostly explained by the positive effect of transport and clothing and footwear prices.
From the National Institute of Statistics and Censuses of Costa Rica report:
From the 315 goods and services that constitute the consumer basket, 54% increased in price, 36% decreased in price and 10% did not change.