| Spiralling oil and vegetable
prices continued to push up inflation, which rose close
to a four-year high of nearly 8 per cent for the week
ended August 7. Still reeling under the impact of the
recent hike in petrol and diesel prices, commodity prices
continued to rise for the third consecutive week to 7.96
per cent.
Inflation had shot up to 7.51 for the week ending July
24 and then further moved to 7.61 on July 31.
Analysts expect the "cascading" effect of
costlier fuel prices to continue for some more time
till the effect of Wednesday's customs and excise cuts
percolates.
Prices of several essential commodities, including
fruits and vegetables, have nearly doubled, according
to trends available from the market.
With commodity prices showing a tendency to rise at
a faster pace in the retail sector than reflected in
the Wholesale Price Index (WPI), Government had yesterday
promised to take more fiscal steps to stem inflation
and assured the nation that there was no shortage of
foodgrains and other essential items.
Source: PTI,
August 20' 2004 |
