Economy

Food inflation back in double digits at 12.13%

PTI New Delhi | Updated on November 09, 2017 Published on December 23, 2010

Food inflation surged back into double-digit territory at 12.13 per cent for the week ended December 24 as the prices of vegetables, particularly onions, rose for the third consecutive week. - K K Mustafa   -  Businessline

Food inflation surged back into double-digit territory at 12.13 per cent for the week ended December 24 as the prices of vegetables, particularly onions, rose for the third consecutive week.

Food inflation registered a sharp increase during the week under review from 9.46 per cent in the previous week to enter double digits for the first time since November 13, when it stood at 10.15 per cent.

On an annual basis, onions became costlier by 33.48 per cent, whereas on a week-on-week basis, the increase was 4.56 per cent, government data released here shows.

While fruits and milk became 20.15 per cent and 17.83 per cent more expensive year-on-year, vegetables became 15.54 per cent dearer.

The sudden jump in food inflation could prompt the Reserve Bank to hike key rates in its policy review meeting next month.

RBI Deputy Governor Mr Subir Gokarn had yesterday hinted that more tightening monetary measures were likely to be taken by the apex bank at its next policy review, as headline inflation is not easing as fast as the apex bank would like and upside risks still remain high.

“Inflation is not easing as we would like it to be...Upside risks to inflation are still high,” he had said.

Overall inflation for November was at 7.48 per cent, down from 8.58 per cent in the previous month.

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

Published on December 23, 2010
This article is closed for comments.
Please Email the Editor