Food price inflation drops to 15.53 per cent

Inflation rate based on the wholesale price index of food articles in the country declined to 15.53 per cent (provisional) during the week ended 9 October 2010 from a high of 16.37 per cent (provisional) in the previous week, even as prices of essential items continued to remain firm.

The decline was due mainly to lower prices of poultry chicken (-4 per cent), fish-marine and bajra (-3 per cent each) and fish-inland, moong, fruits and vegetables, arhar, maize and barley (-1 per cent each).

Food price inflation rate stood at 11.95 per cent in the comparable week of the previous year (10 October 2010).

Build-up of food price inflation so far during the financial year (beginning 1 April 2010) was 9.98 per cent (provisional) against 15.33 per cent in the corresponding week of the previous year.

The index for the 'food articles' group declined 0.3 per cent to 180.8 (provisional) from 181.3 (provisional) in the previous week due to lower prices of poultry chicken (-4 per cent), fish-marine and bajra (-3 per cent each) and fish-inland, moong, fruits and vegetables, arhar, maize and barley (-1 per cent each). However, the prices of beef and buffalo meat (7 per cent), pork (4 per cent) and rice, gram, jowar and condiments and spices (1 per cent each) moved up.

Inflation rate based on the wholesale price index of non-food articles jumped to 23.64 per cent (provisional) during the week ended 9 October 2010 from 22.73 per cent (provisional) in the previous week.