-Livemint.com Supply constraints due to lower output, higher demand on increasing incomes behind spike in prices, says report New Delhi: Inflation has come down sharply this year alongside a softening in food prices, but the rise in the prices of pulses—the second most important part of the Indian diet after cereals—has been the sharpest in a decade, Crisil Research said in a report on Monday. Retail and wholesale inflation were at 42%...
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Why higher govt spending is crucial to contain rural distress
-FirstPost.com Even as the Narendra Modi government has been making claims that India’s rural economy has gained pace under his rule, empirical evidence suggests that the health of country’s rural economy may not have improved much on account of declining or stagnant income levels. The situation, experts say, is unlikely to change in the near future as there are low chances of a revival in rural income generation. A survey by brokerage...
More »Trajectory of distress: From farm to factory
-The Economic Times Blog Two apparently unrelated events — a sharp fall in factory output growth and a spike in Consumer Price Inflation —point to deep problems underlying the economy. September industry growth fell to 3.6%, the lowest in four months. Meanwhile, the consumer price index (CPI) went up to 5% in October, higher than the consensus estimate of 4.8%, headed north for the third successive month. The rise in prices is driven...
More »Incentivize pulses production to check spiralling prices
The low rate of inflation of 3.88 percent in Consumer Food Price Index during September, 2015 actually hides the high prices at which various pulses (dal) are available in kirana / retail shops across India. In terms of Consumer Price Index (combined), monthly rate of inflation in pulses and products during September 2015 (over September last year) stood at 29.76 percent as compared to the overall monthly retail inflation of...
More »Price stabilisation fund for pulses can keep consumer budget in check
-Hindustan Times The alleged lynching of a truck driver who was ferrying pulses by a mob recently in UP is a sad commentary about India’s inadequate price management systems. Wholesale prices, which plunged for the 11th straight month in September, could be masking a worrisome rise in food prices, leaving consumers to wonder why — even with declining inflation — their household budgets are spinning out of control. After onion, the prices...
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