Food inflation declined by more than one percentage point to 10.39 per cent for the week ended February 19. This follows a decline in prices of onions, potatoes and pulses. However, prices of fruit, milk and vegetables as a group continued to remain high. Food inflation stood at 11.49 per cent in the previous reporting week and 21.62 per cent in the corresponding period a year ago. According to data released by the government, prices of potatoes declined by 12.66 per cent year-on-year, while pulses fell by 5.02 per cent, onions by 3.64 per cent and wheat by 2.06 per cent. The items that became dearer during the week ended February 19 vis-a-vis the corresponding year-ago period were fruits, egg, meat, fish, vegetables and milk. The declining prices of certain food items will have a favourable impact on headline inflation in February. General inflation stood at 8.23 per cent in January, much above the comfort level of 5-6 per cent.
News On AIR | March 3, 2011 12:27 PM
Food inflation declines to 10.39%