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Food Prices Down But Inflation Rate Unchanged
Inflation for the week ending February 24 stood at 6.1 per cent, showing a very marginal increase over the previous week when the inflation rate stood at 6.05 per cent.
The marginal increase in inflation was on account of a rise in the wholesale price index of all manufactured products with a wieghtage of 63.75 per cent that increased by 0.4 per cent, more than enough to nullify the effect of an overall drop in the WPI of primary articles (0.5 per cent, weight of 22.02 per cent) which also includes a drop in the index for "food articles" by 0.6 per cent. As increase in prices of food articles has been a very politically sensitive issue, a relative comparison shows that during the last three continuous weeks, the index for food articles has come down by 0.14 per cent, 0.42 per cent and now by 0.6 per cent. ![]() An analysis of some of the essential items in food articles shows that price of arhar dal has gone up by 1 per cent and the previous week by 2 per cent. However that of other dals such as urad and moong, prices have either come down over the past three weeks or have remained static. In fact, for the week ending February 24, the index for urad dal has come down by 2 per cent. By Mrs Gupta, Section News Posted on Sat Mar 10, 2007 at 04:45:59 AM EST
The prices of fruits and vegetables, after showing an increasing trend during the end weeks of January and first week of February this year, have over the past two weeks in succession been down by 2 and 3 per cent respectively.
Similarly, the index for items such as sugar, khandsari and gur, that form part of the manufactured products (not food articles) have show either a 1 per cent decrease or have remained static since the beginning of this year. But for a 3 per cent increase during the last week of January and first week of February where the price index for edible oils increased by 3 per cent, there has been virtually no change in the prices of edible oils since January. Similarly, even the price of rice has virtually not changed since January this year. There has, however, been a stiff increase in the price of onions since the beginning of this year. For the week ending February 24, these prices increased by 6 per cent after having declined by 2 per cent the previous week. The price of onions continuously rose during the first three weeks of January this year with a peak increase of 16 per cent during the week ending January 27. It is interesting to note that since the beginning of the year, there hasn't been any major change in the price index of cement virtually remaining stagnant since January. From: TIE, March-10,03,2007
Food Prices Down But Inflation Rate Unchanged | 0 comments (0 topical, 0 hidden)
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