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Last Updated : Oct 13, 2011 02:30 PM IST | Source: PTI

Food inflation eases to 9.32% for week ended October 1

Food inflation declined marginally, but was still high at 9.32% for the week ended October 1 as prices of major kitchen staples continued to pinch consumers' pockets.


Food inflation declined marginally, but was still high at 9.32% for the week ended October 1 as prices of major kitchen staples continued to pinch consumers' pockets.


Food inflation, as measured on the basis of the Wholesale Price Index (WPI), stood at 9.41% in the previous week. The rate of price rise in food items stood at 17.14% in the corresponding week of 2010.


The fall in food inflation could be attributed to a moderation in the rate of price rise for some of the items on a week-on-week basis, even though they remained higher on an annual basis.


The fall could also be attributed to the high inflation rate of 17% in the corresponding year-ago period, a phenomenon dubbed the 'high base effect' in economic parlance.


As per data released by the government today, vegetable prices shot up by 13.01%, with prices of potatoes rising by 3.79% on an annual basis, during the week under review.


In addition, milk became 10.35% costlier and fruit prices rose by 12.19%. Protein-based items like eggs, meat and fish also became 9.92% more expensive on an annual basis. Cereals turned dearer by 5.41%, rice by 5.86% and pulses by 6.87% annually.


However, onion prices declined by 10.15% on an annual basis and wheat by 0.24%.


Overall, inflation in primary articles was recorded at 10.60% during the week ended October 1, down from 10.84% in the previous week. Primary articles account for over 20% of wholesale price index inflation.

Inflation in non-food articles, which include fibres, oilseeds and minerals, stood at 9.59% during the week under review, compared to 10.77% in the previous week.

First Published on Oct 13, 2011 01:51 pm
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