Inflation in March was up 2.69% year-on-year as farm prices rose on the back of drought in many areas of production.
However, this year, inflation slowed for a third straight month in March, as government subsidies held down prices and people's consumption dropped thanks to school holidays and the price of livestock fell because of an over supply.
Commerce Ministry figures show annual headline inflation rose by 2,69%, compared with 3.23% in February, and 3.39% in January, and against 3.63% in December, which was the highest since November 2011 when Thailand was hit by the great flood.
The ministry has now started using 2011 instead of 2007 as the base year for calculating inflation. It has also increased the number of consumer items on the list to 450 from 417.
Vatchari Vimooktayon, the commerce permanent secretary, said the index in March stood at 104.73 points.
The core inflation index was at 102.87 point, an increase of 1.23% y-o-y.
For the first quarter of 2013, inflation rose by 3.09% when compared to the same period of 2012, which is considered suitable to the country's current economic situation. The core index rose 1.47% during this three-month period.
The ministry projected that inflation in the second quarter would stay at 3.1% as prices of farm products and livestock return to normal.