Overview of December Inflation Trends in Mexico
Mexico’s inflation rate unexpectedly decreased during the first half of December, just before Christmas celebrations. Have you noticed this change in your wallet?
The National Institute of Statistics and Geography (Inegi) announced that the National Consumer Price Index (INPC), which measures inflation, recorded an annual rate of 3.72% for the first 15 days of December, compared to the same period in 2024.
Price Increases in Specific Sectors
However, certain sectors saw price increases. Air transportation rose by 38.25%, and packaged tourism services increased by 9.02%. These sectors typically become more expensive during the holiday season, but even these increases were lower than in the same period of 2024.
Areas of Concern
Despite the nationwide decrease, it’s crucial to note that the underlying inflation (which includes food, beverages, tobacco, housing, and services) remains “high,” having stayed above 4% for 14 consecutive quarters. As it determines long-term inflation trends, this poses a risk for the overall inflation rate.
“It’s very likely that the general inflation rate will exceed 4% in the first months of 2026,” explained a source.
Top 10 Products with Significant Price Reductions
Here are the top 10 products that experienced notable price reductions in December:
- Tomatoes (Jitomate): A staple in Mexican cuisine, tomatoes saw a considerable drop in price.
- Eggs: This essential food item became more affordable for households.
- Chicken: A popular protein source experienced a price decrease, making it more accessible.
- Onions: Another key ingredient in Mexican cooking, onions became cheaper.
- Beans: A vital part of the Mexican diet, beans saw a reduction in price.
- Rice: A common staple in Mexican households, rice became more budget-friendly.
- Milk: A crucial source of nutrition for many families, milk experienced a price drop.
- Bread: A daily bread for many, became more affordable.
- Lettuce: A popular salad ingredient, lettuce saw a decrease in price.
- Avocados: Although not as significant as other items, avocados also experienced a minor price reduction.
Key Questions and Answers
- Q: What is the current inflation rate in Mexico? A: The annual inflation rate for the first half of December is 3.72%, lower than previous expectations.
- Q: Which product categories experienced the most price increases? A: Air transportation and packaged tourism services saw notable increases, though still lower than the same period in 2024.
- Q: What is the underlying inflation rate and why is it a concern? A: The underlying inflation rate, which includes food, housing, and services, remains high at over 4% for 14 quarters. This poses a risk for long-term inflation trends.
- Q: What are the top 10 products with significant price reductions in December? A: Tomatoes, eggs, chicken, onions, beans, rice, milk, bread, lettuce, and avocados all experienced notable price decreases.
