Food inflation Jumps to 14.55%
Ever increasing prices of food articles have been making it difficult for a common man to meet both ends. Indian food inflation has been increasing continuously despite various measures taken by the government. It has reached to 14.55 per cent in the first week of November backed by high prices of potatoes, onions and pulses in the market.
Inflation surged 0.87 percentage points in the reporting period. Prices of potatoes, onions and pulses rose by 102.47 per cent, 38.24 per cent and by 27.03 per cent respectively as calculated on per year basis.
CRISIL Principal Economist D K Joshi added, "Food inflation is likely to remain high, unless prospects of Rabi are known. It is a matter of concern." However, he added that there could be a seasonal rise in prices of onion and potatoes.
Many economists expect that much would depend on Rabi crops, but if it remains poor, India should be gear up to face further rise in inflation rate. The recently released figures by the concerned minister did not find any listed food commodity whose prices have shown decline for the year.
Prices of Urad, mutton, moong, condiments and spices, barley, wheat and bajra reported an increase of 3 per cent while milk, gram, river fish and eggs became costlier by one per cent.