Food price inflation crosses two-digit mark at 10.60 per cent
20 Oct 2011
Food price inflation in India bounced back to two-digit levels, hitting 10.60 per cent during the week ended 8 October 2011, against 9.32 per cent in the previous week. Food inflation stood at 15.72 per cent in the similar week of the previous year.
Build-up of inflation so far during the financial year (beginning 1 April 2011) was 11.84 per cent against 10.16 per cent during the similar period of the previous year.
The spike, caused by higher prices of vegetables and other staples, has posed fresh problems for the government and the Reserve Bank of India.
Vegetable prices have soared 17.6 per cent year-on-year while fruit prices were up more than 12 per cent.
The index for the 'food articles' group rose 0.4 per cent to 200.3 (provisional) during the week ended 8 October 2011, from 199.5 (provisional) in the previous week, due to higher prices of poultry chicken (up 4 per cent), bajra (up 2 per cent) and fish-inland, masur, fruits and vegetables, urad and condiments and spices (up 1 per cent each). However, the prices of jowar and ragi (down 2 per cent each) and barley, maize, fish-marine and moong (down 1 per cent each) declined.
Inflation rate for the non-food articles group stood at 8.51 per cent during the week ended 8 October 2011 against 27.17 per cent during the similar period of the previous year.
