The increase in food prices has slowed down in the past six months as compared to the same period last year, noted the Retail Price Watch Group (RPWG) yesterday.
The slower pace of food inflation has an impact on household expenditure as food expenses take up a considerable portion of each household's monthly budget, said the RPWG.
Singapore's Consumer Price Index for food fell to 2.3 per cent in June from 3.8 per cent in January.
RPWG chairman Lee Yi Shyan, who is also Senior Minister of State for Trade and Industry, said that Singapore imports most of its food. Therefore, its food prices are dependent on the global economy and the commodity market, which is "still very volatile".
RPWG was set up by the Ministry of Trade and Industry last year to keep a close watch on any excessive price increases of daily necessities and anti-competitive behaviour by businesses in Singapore.
Mr Lee told reporters yesterday at an event held at Giant Hypermarket in Tampines: "From a consumer's point of view, it's about being smart about how you spend your dollar."
He highlighted that consumers should be educated on the availability of cheaper alternatives, such as house-brand products.
Supermarket groups also announced yesterday that they are doing their bit to help consumers tackle food-price inflation - from holding prices steady to giving discounts on house- brand products till the end of the year.
The Dairy Farm Group, which which runs supermarket chains Giant, Shop N Save and Cold Storage, has offered to freeze their prices of certain daily necessities until the end of the year.
Shoppers at its supermarkets can look forward to cost savings from eight types of house-brand products, such as bread, instant noodles, diapers and toilet rolls.
The price freeze will cost the Diary Farm Group an estimated S$2.5 million.
Supermarket chain FairPrice said it will offer discounts of 5 or 10 per cent on over 500 house- brand products to help customers save an estimated S$3.3 million over the next five months.
Mr Victor Chia, Diary Farm Group's chief executive of supermarkets and hypermarts, said the company's initiative is aimed at helping consumers "save money and cope better with inflation".