Government deeply concerned about inflation: Patil

Government deeply concerned about inflation: Patil

“My government is deeply concerned over the adverse impact of inflation on the aam aadmi and the threat it poses to the growth momentum,” Patil said in her address to the joint session of parliament.

She said the government has already taken a number of proactive measures to counteract the adverse effects of inflation.

“The import regime has been liberalised to ease supply constraints of critical items,” said Patil.

Enumerating other measures, she added that the export of commodities like edible oils and pulses have been banned, while the public sector has been directed to open more retail units for selling vegetables to individual consumers.

The president noted that the government's measures have started to show results, with cereal prices in check.

“In fact, inflation was declining until November when unseasonal rains in some states led to a spurt in vegetable prices. These prices have come down again following the arrival of the fresh crop,” said Patil.

But the president admitted that the “long term solution lies in increasing productivity and production” of foodgrains.