Hebei province's CPI for the first half of this year was 3.1 percent, the provincial statistics bureau has reported, with the price rise considered controllable for the latter half of this year.

The provincial CPI is higher than the nation's 0.7 percent, Zhang Lixia, the head of the provincial bureau, commented, adding that the rise is mainly because of a carry-over effect and a food price rise, with the carry-over effect accounting for 67.7 percent of the CPI Rise. Consumer prices are expected to rise moderately in the latter half.

If there are no extreme conditions, the CPI will be about 3 percent in the latter half. The price of meat, eggs and vegetables in Hebei has been very high since the beginning of the year, with the price of 27 food items, out of 35 monitored, rising over last year’s prices, while the price of 7 of them fell.

Data show that food prices rose 6 percent in the first half, compared to the same last year period, but Zhang called this year’s increase, well within a reasonable range, but not a result of inflation.

Some analysts have said that the price rising pressures will be big in the latter half, mainly for four reasons: The price of pork is likely to rise. The price of vegetables is affected by weather condition, and will probably increase. The rising cost of labor, energy, and land will most likely push a rise, while price reforms in energy, which began this year, has influenced prices to some degree.

Nonetheless, Zhang maintains, prices are under control.