Sari-Sari Store Prices Rise Despite Lower Inflation, Study Finds

Inflation went down, but your pan de sal budget didn't get the memo.

Despite the nationwide decline in inflation, prices for everyday goods continue to rise in sari-sari stores across the Philippines. This surprising trend in sari-sari store prices comes from new data from Filipino tech startup Packworks. Their study highlights a gap between national economic reports and the reality millions of Filipinos face.

Using its Sari IQ business intelligence tool, Packworks analyzed over a million monthly transactions. This data came from its network of over 300,000 sari-sari stores. The study tracked price movements from 2023 to 2025. It revealed that costs for many essentials continue to climb, even as national inflation figures go down.

The Data: What the Numbers Show

The analysis of sari-sari store prices revealed significant retail price increases. In fact, some categories experienced average price hikes of at least 11%.

  • Baby Products: A 50ml bottle of Johnson’s baby oil increased by 17% (from ₱42 to ₱49). A 100g pack of Tender Care baby powder rose by 25% (from ₱40 to ₱50). Packworks observed these hikes in at least five regions.
  • Snacks & Candy: The 50g pack of Lala Fish Crackers surged by 27% (from ₱18 to ₱23). Meanwhile, a 150g pack of Fres candy recorded a 16% price increase (from ₱36 to ₱42) in at least nine regions.
  • Rice: A five-kilogram pack of premium rice rose from ₱235 in 2023 to ₱295 in 2024. The price slightly dropped to ₱285 in early 2025 after the government imposed an MSRP. However, it remains higher than the national average. Notably, the data shows similar price variations in tingi-tingi or repacked rice bundles.

This upward price trend stands in stark contrast to the declining national inflation rate. The Philippine Statistics Authority (PSA) reported that inflation fell from 6.0% in 2023 to a low of 1.3% in 2025.

sari-sari store prices

The “Pantry of the People”: Why This Matters

Andoy Montiel, Packworks Chief Data Officer, highlights the vulnerability of these micro-retailers.

“Sari-sari stores have thin profit margins. But, they also serve as extended pantries and community hubs,” Montiel said. “Even a slight increase in wholesale prices reveals their vulnerability. As a result, this creates a ripple effect. This is especially true in low-income communities.”

Bridging the Data Gap

Packworks CEO Bing Tan emphasizes the importance of helping sari-sari stores thrive.

“Sari-sari stores are a lifeline for millions of Filipinos,” Tan stated. “Our latest analysis reveals gaps between macroeconomic reports and the grassroots reality. Ultimately, these insights can act as early indicators. They can inform policymakers where people need the most support and aid.”

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