Food inflation down sharply to 13.75 pc on improved supplies

Food inflation fell by 1.78 percentage points to 13.75 per cent during the week, from 15.53 per cent for the week ended October 9, government data showed.This is the second consecutive week when food inflation has declined.

On annual basis, potato prices eased by 49.69 per cent and onions became cheaper by 6.93 per cent.Overall, prices of vegetables went down marginally by 0.77 per cent during the week on a year-on-year basis.

However, other essential items like cereals, milk and fruits continued to remain costly.
Experts said the impact of a good monsoon was slowly becoming visible on prices of essential items, as supply side pressure was easing after a good kharif harvest.

On annual basis, cereals prices have risen by 4.97 per cent. While pulses became costlier by 4.16 per cent on a yearly basis, wheat and rice prices increased by 6.56 per cent and 3.49 per cent, respectively.

Among other food items, milk prices soared by 21.65 per cent during the week compared to the same period last year, while fruit rates rose by 16.06 per cent.Egg, meat and fish became dearer by 28.12 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.