Mumbai:  The cabinet committee on prices will meet on Monday to take stock of rising prices as the annual rate of inflation surged to a 13-month high of 6.68 per cent.

The government, meanwhile, withdrew  tax refund schemes for exports of steel and cement amidst a spike in domestic prices of both commodities.

It also raised the minimum export prices of non-basmati rice to discourage exports to bolster foodgrain availability within the country.

Rising prices of metals, fuels and foods have spurred a surge in India's wholesale inflation rate, which hit an annual 6.68 per cent mid-March, well above the tolerance limit.

"The Cabinet Committee on Prices will meet on Monday," finance secretary D Subbarao said on the sidelines of a seminar on 'Securities Contracts (Regulations) Rules'.

He said inflation numbers, which were quite disturbing, were partly due to high global commodity prices. 

"Generally, we expect commodity prices will go down when there is recession in the developed countries. If you look at past recession in the US, there is depression in commodity prices. But, this time there is elevation in commodity prices together with recession in the US," he said.

The Finance Secretary also said exports have come under double pressure because of appreciation in the rupee and low demand due to recession in the US.

The government on Friday announced the withdrawal of tax refund schemes for exports of steel and cement as domestic prices of both commodities are high and local supplies need to be increased.

Earlier this year, the government had cut import duties on manufactured products and edible oils, while the Reserve Bank of India (RBI) maintained a tight monetary stance to stem price pressures.

The government raised the minimum price for non-basmati rice exports to $1,000 per tonne from $650 per tonne free-on-board, the commerce ministry said yesterday.

The Directorate General of Foreign Trade, an arm of the commerce ministry, said in a notification dated March 27 on its website that the floor price for exports has been raised to Rs40,000 ($1,000) a tonne.