Amid surging food prices, consumer price index for industrial workers (CPI-IW) climbed to 9.84% in July, while it was 8.43% in the same month last year and 10.05% in June this year. Similarly, the food inflation stood at 11.27% against 10.45% of the previous month.
The largest upward contributions to the change in current index came from food prices, which rose by 2.38%, contributing 2.44% points to the total change, and the main contributors for this rise are, arhar dal, green chili, onion, vegetables, mainly potato and tomato and sugar.
The largest downward contributions to the change in current index came from Transport and Communication with a decline of 0.99%, contributing 0.09 percentage points to the total change. The main downward pressure came from Petrol as an effect of fall in price notified with effect from July 24, 2012.
Even though, the upward ward movement was pared a little by the dips in French bean, brinjal, and poultry. Food inflation stood at 11.27% during the month, up from 6.25% a year ago, albeit it was 10.45% in June 2012. House rent also increased by 2.96%, contributing 1.05 percentage points to the overall retail inflation in July.
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