Higher price of gram, pulses, vegetables and fruits have forced the food inflation to cross 9 per cent again. This is another development causing more concern for the Finance Minister Mr Pranab Mukherjee.
Another worry is increase in the fuel inflation which rose to 14.69 per cent from 13.96 per cent. The fuel inflation has risen on higher prices of petrol, light diesel oil, and aviation turbine fuel. Public Sector oil marketing companies raised petrol prices by Rs 3.14 rupees per litre with effect from Sept 16.
The latest date released by the Commerce and Industry Ministry showed that the food inflation for the week ended September 17, reached to 9.13 per cent as against 8.84 a week ago. The index for 'Food Articles' group rose by 0.8 percent to 197.3 (Provisional) from 195.7 (Provisional) for the previous week due to higher prices of gram (6%), masur, arhar, urad, poultry chicken, condiments& spices and fish-marine (2% each) and fruits & vegetables, maize, jowar and milk (1% each).
The Finance Minister, Mr Pranab Mukherjee said, "The food inflation is perilously close to the double-digit mark. The rise in food inflation is a grave concern." On the other hand, the Chairman of the Prime Minister’s Economic Advisory Council (PMEAC) Dr C Rangarajan termed the current level very high.