Tuesday, May 19, 2026
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Sari-sari stores grapple with rising product prices

Prices of various goods continue to rise in Philippine sari-sari stores despite a nationwide decline in inflation, according to new data from Filipino tech startup Packworks.

Packworks analyzed over a million monthly sales transactions from its network of more than 300,000 sari-sari stores nationwide, using its mobile app and business intelligence tool, Sari IQ.

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The analysis tracked price movements across multiple product categories from 2023 to 2025, revealing that costs continue to climb despite a general decline in inflation, with some categories experiencing average price increases of at least 11 percent across various regions.

Retail price increases were observed for items like baby oil and baby powder. A 50-milliliter (ml) bottle of Johnson’s regular baby oil increased by 17 percent, from P42 in 2023 to P49 in 2025.

A 100-gram pack of Tender Care baby powder rose by 25 percent, from P40 to P50. These price hikes were observed in at least five regions: Ilocos Region, Cagayan Valley, Central Luzon, MIMAROPA, and Bicol Region.

The study also found that 11 different stock-keeping units (SKUs) within the confectionery and snacks category experienced at least a 13-percent increase in retail price.

A 50-gram pack of Lala Fish Crackers Classic, a popular snack, saw its price surge by 27 percent, rising from P18 in 2023 to P23 today.

These spikes were recorded in stores based in Cagayan Valley and MIMAROPA. Another popular item, the 150-gram pack of Fres candy, recorded a 16 percent price increase across all its variants, now at P42, up from P36 two years ago.

The candy brand is now more expensive in at least nine regions, including Ilocos Region, Cagayan Valley, Central Luzon, MIMAROPA, Bicol Region, Western Visayas, Central Visayas, and Eastern Visayas.

Andoy Montiel, Packworks chief data officer, noted the vulnerability of sari-sari stores, adding that even a slight increase in their wholesale purchase price can directly affect end consumer pricing.

“Sari-sari stores are known for their thin profit margins. While they operate as viable businesses, they also serve as extended pantries and community hubs for their neighbors,” Montiel said.

“Even a slight increase in wholesale prices reveals how vulnerable micro-retailers are to cost shifts upstream. This creates a ripple effect, especially in low-income communities where these stores are the primary source of daily essentials,” said Montiel.

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