The fall in production of rice and oilseeds pulled down the growth in the agriculture sector to 2.9 per cent in the first quarter of the current fiscal, even as wheat and cotton output increased.
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Costlier vegetables and eggs pushed up retail inflation to a nearly six-and-a-half year high of 7.61 per cent in October, keeping it significantly above the comfort zone of the Reserve Bank.
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India's factory output climbed 22.4 per cent in March, benefiting from the base effect of the lockdown-marred month a year back as well as a turnaround in the manufacturing sector, while retail inflation slipped to a three-month low of 4.29 per cent in April. The high positive annual growth in the index of industrial production (IIP) in March 2021 came on back of a contraction of (-)0.9 per cent and (-)3.4 per cent in January and February 2021 respectively, according to the data released by the National Statistical Office (NSO) on Wednesday. This turnaround was led by recovery in the mining, manufacturing and electricity sectors.
During the month, inflation in vegetables shot up to 35.99 per cent, as against 26.10 per cent in October. Likewise, the prices of cereals and eggs grew at a faster pace of 3.71 per cent.
There was acceleration in prices of fuel and power (11.69 per cent) and manufactured products (2.55 per cent).
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During his address after flagging off the train via video-conferencing, Modi said his government's policies are clear and intentions transparent in reforming the agriculture sector.
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Inflation in onion continued to rule high at 42.22 per cent and in potato at 43.25 per cent.
In December 2014, it was (-)0.50 per cent.
'Barriers have come across roads marking the end of Noida, the start of Gurgaon, the hard borders allowing no passage -- at least by day,' observes Kishore Singh.
Retail inflation in pulses and products category rose to a staggering 42.20 per cent in October.
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Onion prices, however, continued to rule high with 79.78 per cent increase in September.
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A decline in prices of food items such as eggs, wheat and pulses as well as a few manufactured products pulled down inflation to 5.77 per cent during the week ended April 21 from 6.09 per cent in the previous week.
'Given that the economy is going through a slowdown, further downward revisions of the 2019-2020 growth estimates cannot be ruled out,' notes A K Bhattacharya.
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The inflation in the food basket spiked to 7.89 per cent in October 2019 as against 5.11 per cent the preceding month.
In December, the index fell a provisional 0.73 per cent.
Retail inflation in April softened further and fell to a four-month low of 4.87 per cent.
'Our stomachs, accustomed now only to the blandness of stems and leaves, rumbled at unaccustomed aromas not intended for our consumption.' 'Heaven awaited on a platter -- but not for us,' sighs Kishore Singh.
Retail inflation inches up to 3.77%; IIP growth dips to 3-month low
Retail inflation rises to 4.41% in Sep on dearer food items
Build up inflation rate in the financial year so far was 2 per cent compared to a build up rate of 4.56 per cent in the corresponding period of the previous year. Inflation in food articles as a group rose to 11.08 per cent during the month as against 9.80 per cent in the previous month, mainly driven by exorbitantly high onion prices, the rates of which spiked by over 172 per cent from a year-ago. The annual rate of inflation, based on monthly wholesale price index was at 0.16 per cent in October.
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India has scrapped import duty on more than 4,800 items from four neighbouring countries and reduced customs tariff on these products from Pakistan and Sri Lanka as part of efforts to boost trade in South Asia.
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Inflation increased to 4.13 per cent for the week ended June 23 compared to 4.03 per cent in the previous week mainly due to rising prices of food articles and manufactured products.
Prices of food articles contracted by 3.47 per cent in June on a yearly basis. Vegetable inflation stood at (-)21.16 per cent.
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