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LATEST NEWS UPDATES | India to witness severe food inflation due to extreme weather -Richard Mahapatra

India to witness severe food inflation due to extreme weather -Richard Mahapatra

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published Published on Feb 14, 2020   modified Modified on Feb 14, 2020
-Down to Earth

The record-breaking vegetable price rise indicates an era of high food inflation in coming years

Rising prices of food items, particularly that of vegetables, have spiked retail inflation to a 68-month high of 7.59 per cent in January 2020, according to the National Statistical Office.

While the inflation figure captured headlines, a crucial analysis of the reasons behind this sustained increase in food prices slipped public attention. Extreme weather events have led to crop damages, leading to a collapse in the supply of vegetables at a time of the year when they usually flood the markets.

On the basis of year-on-year comparison, vegetable prices have gone up by 50.19 per cent since January 2019. They have spiked by 45.56 per cent in rural areas / markets during this period and by 59.31 per cent in urban areas.

Of the six categories of consumption items used to reach the overall inflation figure, the food and beverages category recorded the highest price rise, thus increasing the overall inflation rate.

Please click here to read more.

Down to Earth, 13 February, 2020, https://www.downtoearth.org.in/blog/agriculture/india-to-witness-severe-food-inflation-due-to-extreme-weather-69282


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