Higher Food Prices Push Inflation to 9.73 Percent
Tuesday, 15 November 2011, 00:15 IST
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New Delhi: A rise in prices of food articles, notably lentils, rice, milk, condiments, fruits and vegetables marginally pushed India's annual rate of inflation to 9.73 percent for October from 9.72 percent in the previous month. According to latest data on the wholesale price index released by the commerce ministry, the rise was spread across commodity groups. Primary articles registered an inflation rate of 11.4 percent, fuels were up 14.79 percent and factory goods 7.66 percent. The high inflation rate has been a cause for concern both for the Reserve Bank of India and the government, with Prime Minister Manmohan Singh terming it a "worrisome" problem. "I do not deny it particularly with regard to food prices," he said last week. "Foodgrain prices are stable. But the prices of vegetables and that of tertiary goods are going up. The demand is growing on a much faster rate on the supply curve. "One reason why inflation has become a problem is due to the prices of fuel products," the prime minister said.
Source: IANS