The food inflation is continuing to grow for the fifth week running as the movement of goods has been getting hampered due to the interference in transportation because of the rains and resultant floods that have been occurring lately.

Reportedly, the food inflation in India increased sharply to 16.44% for the week ended 18th September, and the price of vegetables and fruits are still on the rise. The food inflation last week was 15.46%.

Finance Minister Pranab Mukherjee is still hoping that the increase in inflation will soon relax when the kharif crops arrive in the market. He says that certain monetary policies have been adopted which will have moderating influence and take away the surplus liquidity from the market.

According to economists and analysts, the price of food will come down as soon as the rains start to go and the kharif crops start coming to the market within the following few days.

They feel that rise in current price is due to rains, the forthcoming festive season and the commonwealth games.

On an annual basis, the price of cereals increased by over 6%, fruits and vegetables by 15.13% and 5.87%, and milk by 24.32%.