Singapore’s core inflation in January 2025 has dropped to 0.8% year-on-year, the smallest increase since June 2021. While the inflation rate has shrunk to its lowest in the past four years, it still means that prices are increasing, only at a slower rate.
We can look at the Consumer Price Index (CPI) as a measure of price inflation in Singapore. The CPI tracks inflation across a fixed basket of 1,080 goods and services that most Singapore residents would typically buy, including rice, meat and vegetables, clothing and footwear, toys and games, as well as education and medical expenses.
In line with the latest Household Expenditure Survey 2023, the CPI was rebased at the start of 2024. This is a regular exercise conducted every 5 years to reflect the latest consumption patterns and composition of goods and services consumed by resident households in Singapore.
It also means that the following tables may not be a measure of pure price movements. That said, it is still worth comparing the latest average price of goods with previous years to see which items have become cheaper.
#1 Cooking Oil
It is a relief to see this household staple in the list of items that have gotten cheaper over the years. It is such a crucial element of every kitchen that any price reduction would have an immediate effect on households in Singapore.
| 2024 Price (per kg) | 2020 Price (per kg) | Change in Price | |
| Cooking Oil | $5.80 | $6.21 | 6.6% less |
Palm oil is one of the world’s cheapest edible oils for good reason. Palm requires less land to produce and can be harvested all year round, compared to soya, sunflower and rapeseed crops.
With Indonesia and Malaysia as the main producers, our stronger exchange rate may be a factor in the 6.6% price dip since 2020.
#2 Fish
Of the 8 types of fish selected for the CPI basket, half of them are cheaper today than they were in 2020. They are cod fish, white pomfret, sea bass and threadfin (also known as ikan kurau).
| 2024 Price (per kg) | 2020 Price (per kg) | Change in Price | |
| Cod Fish | $64.92 | $65.63 | 1.1% less |
| White Pomfret | $22.06 | $30.15 | 26.8% less |
| Sea Bass | $11.33 | $11.70 | 3.2% less |
| Threadfin | $53.19 | $60.32 | 11.8% less |
One possible explanation for the lower prices of fish today could be a stronger Singapore currency, leading to cheaper imports. White pomfret and threadfin are both imported from Indonesia, and the rupiah has weakened significantly against the Singapore dollar over the past 5 years.
In contrast, sea bass is imported from Malaysia, where the ringgit has strengthened over the past year, but has declined since 2020. This may explain the smaller price shift.
Cod are imported from multiple countries, and therefore, less reliant on price fluctuations in any single currency. Again, this may explain the smaller shift in price over the years.
#3 Prawns
While prawns are traditionally thought of as a luxury purchase at the supermarket, prices have been trending down over the past five years.
| 2024 Price (per kg) | 2020 Price (per kg) | Change in Price | |
| Medium Prawns | $16.92 | $20.12 | 15.9% less |
The main reason for the lower prices in the past two years has been a global oversupply.
Unfortunately for consumers in Singapore, there are signs that prices are headed back up in 2025. The average price in the past month has gone up to $18.37 per kg, the highest monthly price since September 2022.
Read Also: The Old Chang Kee Index: Can Curry Puffs & Chicken Wings Be Used To Track Inflation In Singapore?
#4 Beer
Don’t be mistaken, Singapore is still one of the most expensive cities in the world to buy beer in. According to Expensivity’s World Beer Index 2001, Singapore ranked joint 6th with Switzerland on supermarket beer prices.
| 2024 Price | 2020 Price | Change in Price | |
| 6 Cans Of Beer | $15.32 | $15.61 | 1.9% less |
However, looking more closely at the prices, while the cost of beer has come down, it had been on the rise over the past few years. The drop only came at the start of last year – coinciding with the rebasing of the CPI.
| 2024 Price | 2023 Price | 2022 Price | 2021 Price | |
| 6 Cans Of Beer | $15.32 | $16.61 | $15.86 | $15.40 |
In each rebasing exercise, items included in the CPI basket are carefully selected so that they are representative of purchases made by most Singapore residents. More budget friendly options could have been used in the rebasing, potentially explaining why the average price came down.
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