TheCPIrise was mostly propelled by a continuing increase in food prices (up 14.8 percent), and pork prices in particular (up 57 percent), which is both bad news and good news for the Chinese economy.
The cap on large letters and parcels of up to 2kg is now directly linked to this, meaning that prices can rise by no more than 34% from the end of April 2012 until 2019 in addition to the Consumer Prices Index (CPI) measure of inflation.