India's annual rate of inflation has risen to 9.89% in the month of February this year. According to official data, it was 8.56% previously in the month of January 2010. Hence, a hike in inflation rate suggests that there will be more rise in the food prices.

The central bank had expected in its January policy review that inflation will be around 8.5% for the end of March 2010.

However, the commerce ministry has released its latest report on annual inflation rate. And according to the statistics, food prices have increased by 17.79% where as 15.56% hike in other primary articles. Manufactured products in the country were up by 7.42%.

Earlier in the month, Indian Prime Minister Mr. Manmohan Singh has accepted in the Parliament that price rise have created concerns for everyone in the country. Consumers are facing lot of difficulties due to the food price rise. However, he has assured that every possible step is being taken to pull the prices down.