Economy

Pulses, wheat push food inflation down to 9.52%

PTI New Delhi | Updated on March 10, 2011 Published on March 10, 2011

Pulses displayed for sale at a shop in Kochi. For the week ended February 26, 2011, prices of pulses fell by 3.91 per cent.   -  Business Line

After a gap of nearly three months, food inflation fell to a single digit of 9.52 per cent for the week ended February 26 on account of a decline in the prices of potatoes, pulses and wheat.

Food inflation stood at 10.39 per cent in the previous week. The rate of price rise of food items has fallen to a single-digit figure for the first time since the week ended December 4, 2010, when it was 9.46 per cent.

The latest figures are expected to give a breather to the Government, which has been under increasing pressure to rein in the inflationary pressure caused by high food and crude oil prices.

For the week under review, prices of wheat declined by 1.07 per cent on an annual basis, while pulses fell by 3.91 per cent. Prices of potatoes also fell by nearly 9 per cent year-on-year.

However, vegetables continued to be expensive and the prices went up by 9.23 per cent on an annual basis. In particular, onion prices were up by 3.9 per cent. Rice also became dearer by 1.16 per cent. Egg, meat and fish became costlier by 15.38 per cent.

Meanwhile, fruit prices rose 18.75 per cent and milk 8.42 per cent on an annual basis.

Non-food articles category saw a price rise of 29.85 per cent during the week on an annual basis. Fuel and power also became 9.48 per cent more expensive, while petrol became costlier by 23.14 per cent.

High food prices have been one of the major factors behind high overall inflation. Headline inflation in the country stood at 8.23 per cent in January and the Government has exuded confidence that it will fall to 7 per cent by March-end.

Published on March 10, 2011
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