Food inflation fell to a Three-month Low
Food inflation fell to a three-month low in the first week of November 2010.
Food inflation fell by two percentage points to a three-month low of 10.30 per cent in the first week of November 2010. The fall in food inflation resulted from increased supplies following the end of the rainy season. The dip gave rise to hopes that inflation will fall to single digit. For the fifth week in a row food inflation dipped as a result of enhanced crop arrivals in markets across the country.
Single-digit food inflation was last witnessed in the week ended 24 July 2010. Not a single food item saw a price rise of over 1 per cent during the first week of November 2010. However, the price of protein-based food items became significantly costlier with the price of eggs, meat and fish rising by over 33%.