(Yicai Global) Feb. 16 -- China’s consumer inflation eased last month to the slowest pace since October as the cost of pork plunged, according to official data.

The consumer price index rose 0.9 percent in January from a year earlier, down from an increase of 1.5 percent in December, the National Bureau of Statistics said today.

Wu Chaoming, chief economist at Chasing Securities, attributed the slowdown to pork prices falling so much that they offset increases in the cost of fruit and vegetables, while the cost of services rose by less than the average for a January due to the pandemic.

Pork prices plunged 42 percent last month from a year ago, following a 37 percent drop in December. Food prices fell 3.8 percent, more than the 1.2 percent dip in the prior month.

But pork prices are expected to rebound and increase moderately, said Liu Xuezhi, senior researcher at Bank of Communications’ financial research center. Though that will result in pricier food, it will barely affect the CPI, Liu said, adding that any gain in the CPI this year will likely be higher than in 2021, but should not exceed 3 percent.

The producer price index, which measures the cost of goods leaving the factory gate, also slowed last month, according to the NBS. The PPI jumped 9.1 percent in January from the previous month, down from 10.3 percent in December and the slowest clip in over six months.

Prices of raw materials including coal and steel fell in the month, leading an overall decline in industrial prices, said Dong Lijuan, senior statistician at the NBS.

The PPI will continue to fall in 2022 while remaining higher than pre-pandemic levels, said Luo Zhiheng, chief economist at Yuekai Securities. The future focus will be on energy prices and the recovery in the global supply chain, Luo added.

Editors: Dou Shicong, Futura Costaglione