Food inflation dips to 7-week low; but consumers sceptical
07 Jul 2011
Inflation in food items in India fell to a seven-week low of 7.61 per cent for the week ended 25 June, according to data released by the government today.
Helped by cheaper prices of vegetables and pulses, including the ubiquitous potato, the drop was the second in two weeks. The primary articles index had dropped to 7.8 per cent in the previous week after surging to a two - month high of 9.13 per cent earlier.
Vegetables became cheaper by 8.74 per cent, while prices of pulses declined 9.01 per cent year-on-year.
However, prices of other food items remained high during the week. Fruits became 22.75 per cent more expensive, while onions rose by 21.24 per cent year-on-year. Egg, meat and fish prices were up by 10.12 per cent, and cereals by 4.26 per cent. Milk was 12.10 per cent costlier on an annual basis.
The latest numbers on the rate of price rise of food items are the lowest since the week ended 7 May, when food inflation stood at 7.47 per cent.
The index for fuels and power, which has 14.91 per cent weightage in the wholesale price index, also declined to 12.67 per cent for the week from 12.98 per cent in the previous week.
