November 4, 2010 12:38 PM

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Food inflation falls to 12.85%

Sliding for the third straight week, food inflation fell to 12.85 per cent for the week ended October 23 as prices of vegetables, especially potato and onion, softened due to improved supplies. Food inflation stood at 13.75 per cent for the week ended October 16. Government data showed that on annual basis, potato prices were sharply down by 51.22 per cent and vegetables became cheaper by 4.20 per cent. However, other essential items like cereals, milk and fruits continued to remain costly. Egg, meat and fish also became dearer by 28.85 per cent on an annual basis. After some moderation in July, food inflation remained high during August and September due to supply disruptions, caused by heavy monsoons.

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