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  • Expensive food items push inflation to 6.01% in May

    Published on June 16, 2014

    Rising prices of food and beverages like coffee, tea, poultry, fish and vegetables pushed up inflation to 5-month high of 6.01 percent in May.

    Inflation newThe Wholesale Price Index (WPI)-based inflation was 5.20 percent in April and 4.58 percent a year ago in May.

    According to the data released by the Commerce and Industry Ministry on Monday, food items which became expensive during the month include coffee (23 percent), poultry chicken (7 percent), fish-inland (6 percent) and tea and fruits and vegetables (4 percent each).

    The other items in the primary articles segment which became dearer are condiments and spices, fish-marine, urad and masur (3 percent each), rice and moong (2 percent each) and milk, barley, pork, mutton and arhar (1 percent each).

    However, the prices of maize came down by five percent, wheat and ragi by 2 percent each and egg, jowar and gram by one percent each.

    In the ‘Non-Food Articles’ category, guar seed became expensive by 13 per cent, soyabean (10 per cent), copra (coconut) (8 per cent), tobacco (7 per cent), raw jute (5 per cent), raw silk (3 per cent), mesta (2 per cent) and groundnut seed, raw cotton and cotton seed (1 per cent each).

    However, the data showed, the price of gingelly seed and flowers declined by 8 percent each, fodder by 3 percent and linseed, castor seed and sunflower by 1 percent.

    The inflation figures for March was revised to 6 percent from 5.70 percent reported earlier. The previous high was 6.4 percent in December.

    In the manufactured goods category, food items which became expensive include tea leaf (unblended) (11 per cent), tea leaf (blended) (8 per cent), gur and bakery products (4 per cent each), gola (cattle feed) and processed prawn (3 per cent each), copra oil and ghee (2 per cent each) and mixed spices, khandsari and oil cakes (1 per cent each).

    However, the price of tea dust (unblended) declined by 3 per cent, groundnut oil and gingelly oil (2 per cent each) and soyabean oil and sunflower oil (1 per cent each).

    The data further revealed that dried tobacco became expensive by 8 percent and cigarette by 2 percent.

    In the textiles group category, man made fabric, jute sacking cloth, jute sacking bag and cotton fabric became dearer by one per cent each, though prices of jute yarn declined by 4 per cent and tyre cord fabric and gunny and hessian cloth by one per cent each.

    Similar price increase was noticed in other categories like wood and wood products, paper and paper products, leather and leather products, rubber and plastic products and chemicals and chemical products.

    Items in metals, machinery and machine tools and transport equipment categories too became expensive during May pushing up the overall inflation rate.

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