India's retail price inflation surges to 10.36 percent | SupportBiz

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India's retail price inflation surges to 10.36 percent

 
India's inflation based on retail prices surged to 10.36 percent in April as compared to 9.38 percent in the previous month, due to a sharp increase in prices of vegetables, edible oil and milk products, government data showed. The price rise was sharper in urban areas.

In urban areas, inflation based on Consumer Price Index (CPI) surged by 11.1 percent in April year-on-year, while in rural areas, it grew by 9.86 percent, according to data released by the Central Statistics Office.

The price of vegetables in retail markets grew by 24.55 percent. The prices of edible oil surged by 17.63 percent, and milk and related products became costlier by 14.94 percent during the month under review year-on-year.

Overall prices of food and beverages grew by 10.18 percent in April.

Clothing, bedding and footwear became costlier by 11.95 percent, and the prices of fuel and light grew by 11.4 percent.

Food prices have started pinching the pockets of common people again, after showing some moderation in the second half of 2011-12.

Food inflation based on wholesale prices have entered into double-digit for the first time in six months. Food inflation grew to 10.49 percent in April, based on the wholesale price, according to data released by the Ministry of Commerce and Industry recently.

The overall inflation based on the Wholesale Price Index (WPI) has accelerated to 7.23 percent in April, as compared to 6.89 percent in the previous month.

In the wholesale market, the prices of vegetables surged by 60.97 percent year-on-year. Potato prices more than doubled. Milk became costlier by 15.51 percent. The prices of egg, meat and fish rose by 17.54 percent. Pulses became costlier by 11.29 percent.

The recent data showed that India continued to face the problem of high inflationary pressure and low growth.

As per the data released by the Central Statistics Office earlier, India's industrial output shrank by 3.5 percent in March due to poor show by the manufacturing and mining sectors. It was the first contraction in the factory output since October 2011, when it shrank by 4.7 percent.

The factory output, measured in terms of the Index of Industrial Production (IIP), had registered a growth of 4.1 percent in February year-on-year.