In a move that brings relief to the rural workforce, but risks creating an inflation spiral, the government on Thursday revised the minimum wages paid for its flagship job guarantee scheme by linking them to the Consumer Price Index for agricultural labour (CPI-AL) for each individual state. Such a price spiral, in case it actually emerges, could roil the electoral prospects of the Congress in the key contests to the state...

There is a suggestion circulating in the corridors of our apex monetary regulatory authority, the Reserve Bank of India, that food inflation is beginning to look more ‘structural’ than ‘seasonal’, and it can only be tackled by addressing the supply side. We need to address both demand and supply sides simultaneously to tackle food inflation. While we must be happy that more and more poor eat fruits and cook vegetables...

Dalit entrepreneurs will make a historic journey to Delhi next week for a pre-budget meeting with Planning Commission deputy chairman Montek Singh Ahluwalia. This is the first time that business leaders from the country's most marginalized communities will be included in the government's budget consultation process. The meeting is scheduled for Monday afternoon with 40 entrepreneurs from different parts of the country expected to attend. It marks the emergence of a...

Rural Development Minister CP Joshi has refused to move on a proposal by the Planning Commission to link wages under the national job guarantee scheme to the consumer price index. In fact, the Plan panel’s proposal was echoed by the National Advisory Council chaired by UPA Chairperson Sonia Gandhi.In a presentation to Prime Minister Manmohan Singh recently, the Planning Commission made a strong case for aligning the wage levels to...

In more ways than one the calendar year 2010 would go down the memory lane as a watershed year for the food and agriculture front in the country which recorded unprecedented growth rate of 4.4 per cent in July-September quarter but by December unprecedented price hike of essential food items especially left consumers in tears.   As the year comes to an end, an embattled government and the Union agriculture ministry stood...