Consumer price inflation rises to 7.96% in July

The all-India consumer price inflation rate (combined for rural and urban centres) neared the 8 per cent ceiling set by the Reserve Bank of India, increasing to 7.96 in July 2014 against 7.46 in June, while the indices for rural and urban centres stood at 8.45 and 7.42 in July 2014 against 7.78 and 6.82, respectively, in June.

Consumer price inflation rate for July 2013 stood at 9.64 while the corresponding rates for rural and urban centres stood at 10.66 and 12.52, respectively.

Consumer food price inflation for all-India (rural and urban combined) increased to 9.36 in July 2014 from 8.05 in June while the indices for rural and urban centres were up at 9.85 and 8.45 in July 2014 from 8.83 and 6.57, respectively, in June.

The comparable all-India rates for all-India, rural and urban were 11.22, 10.66 and 12.52, respectively, in July the year before.

The increase in food price inflation in July this year was due mainly to costlier vegetables following a double-digit price rise of 16.88 per cent, a steep rise from 8.73 per cent in June.

Fruit prices went up to 22.48 in July as against 20.64 per cent increase in June.

The rate of price rise in pulses was 5.85 per cent.

Inflation in milk and milk products stood at 11.26 per cent during the month under review.

Amongst others, food and beverages saw a price rise of 9.16 per cent and non-alcoholic beverages prices were up 6.35 per cent.

Inflation in cereals, however, eased marginally in July to 7.45 per cent from 7.6 per cent in the previous month.

Other protein-rich items such as eggs, fish and meat too witnessed lower inflation in July over the previous month.