THE growth of China's consumer price index, or CPI, a main gauge of inflation, is expected to be below 2 percent year on year in December, the Economic Information Daily reported yesterday.

The country's CPI will grow 1.8 percent year on year in December, said the newspaper, quoting Zhong Zhengsheng, chief economist at Ping An Securities.

Zhong said the average wholesale price index for agricultural products decreased 2.4 percent month on month, with figures in pork, fruit, egg and vegetable up 0.1 percent, 3.3 percent, -4.9 percent and -9.1 percent, respectively.

The energy consumption-related CPI is expected to fall as domestic refined oil products were cut twice, and the average monthly price growth for gasoline slipped from 41.6 percent to 25.7 percent year on year, Zhong added.

December's CPI growth will decline to 1.6 percent year on year. Vegetable prices have dropped markedly, leading to whole food prices going down, with a month on month decline about 1 percent, said Dong Qi, chief analyst at Guotai Junan Securities.

Prices for fresh vegetables and pork have fallen, and as CPI drops, the figure will increase 1.7 percent year-on-year in December, said Li Chao, chief economist at Zheshang Securities.(China Daily)