Consumer price inflation up at 9.87% in June

Consumer price inflation in the country rose to 9.87 per cent in June, from 9.31 per cent in the previous month as vegetables and food items turned costlier.

Based on the all-India general consumer price index (CPI), inflation stood at 9.87 per cent in June against 9.31 per cent in the previous month. The corresponding inflation rates for rural and urban areas for June 2013 stood at 9.63 per cent and 10.13 per cent, respectively, provisional data showed.

Inflation rates (final) for rural and urban areas for May 2013 now stand revised to 8.98 per cent and 9.65 per cent, respectively.

Consumer price inflation rose for the first time in four months following a spike in the food price inflation to 11.84 per cent in June 2013 from 10.65 per cent in the previous month, official data released today showed.

Vegetable prices showed the steepest rise during the month under review with a 14.55 per cent jump over the year-ago period. Prices of fruits also witnessed significant increase.

Prices of fruit and vegetables generally rise during the rainy season.

Protein-rich items like egg, fish and meat were dearer in June though rates of pulses and related products eased somewhat.

The rate of increase in prices of cereals and similar items, however, was higher at 17.59 per cent in June against a 16.29 per cent increase in May.

The wholesale price index-based inflation was at three-and-a-half year low of 4.7 per cent in May.

Reserve Bank of India (RBI) is expected to factor in the high inflation levels in its monetary policy review, which is due on 30 July.