Singapore's consumer price index (CPI) for food slipped from 3.8 percent in January to 2.3 percnt in June compared with the previous year, the Ministry of Trade and Industry (MTI) announced Tuesday.

As food expenses account for a considerable portion of each household's monthly budget, the slower inflation has an impact on household expenditure, the ministry said in a statement.

The Retail Price Watch Group, a group set by the MTI to keep a close watch on any excessive price increases of daily necessities and anti-competitive behaviour from businesses, also said that " the prices for some common food items have declined or remained fairly stable".

They advised consumers who want to achieve more value for money to take advantage of lower prices or promotions whenever possible and purchase housebrand items, which are said to be cheaper than the prominent brands.

The city-state has been working hard to cushion the impact of rising cost of living for lower and middle income groups by granting various aids. On the other hand, their central bank has also been working hard to handle the inflation by using their exchange rate.