Food price inflation climbs further to 16.44 per cent

Food prices inflation based on the wholesale price index of food articles rose to 16.44 per cent (provisional) during the week ended 18 September 2010 from 15.46 per cent (provisional) in the previous week as prices of essential items continued to rise.

The spurt in inflation rate was due mainly to higher prices of arhar, fruits and vegetables and pork (3 per cent each), barley, jowar, gram and maize (2 per cent each) and fish-marine, masur and milk (1 per cent each).

Food price inflation stood at 13.52 per cent in the comparable week a year ago (week ended 19 September 2009).

Build-up of food price inflation so far during the financial year (beginning 1 April 2010) was 9.43 per cent (provisional) against 13.85 per cent in the corresponding week of the previous year.

The index for the 'food articles' group rose 0.8 per cent to 179.9 (provisional) from 178.5 (provisional) in the previous week due to higher prices of arhar, fruits and vegetables and pork (3 per cent each), barley, jowar, gram and maize (2 per cent each) and fish-marine, masur and milk (1 per cent each). However, the prices of fish-inland, rice and condiments and spices (-1 per cent each) declined.

Inflation rate based on the wholesale price index of non-food articles jumped to 20.21 per cent (provisional) during the week ended 18 September 2010 against 16.09 per cent (provisional) during the previous week.