India: CPI 'Eases' to 9.9% in July

August 22nd, 2012
in econ_news

Econintersect:  In June the CPI for India came in at 9.93%.  In July the number was india-foodSMALL9.86%.  Both figures are official releases of the India Central Statistics Office.  The headline in The Times of India says "inflation eases" in July.  Econintersect notes that both numbers round to 9.9% so we were tempted to make our headline slightly different than we did, namely:  "India Inflation Eases from 9.9% to 9.9%."

The persistent inflation is driven most strongly by food price inflation which is likely to remain if not worsen due to subnormal rainfall from this year's poor monsoon.

Follow up:

Food prices have remained a persistent challenge for Indian policy makers after appearing to start to moderate during the winter.  (See GEI News.)  Some of the problem areas were identified by The Times of India:

Vegetables prices rose an annual 27.33% in July while prices of oils and fats shot up 17.37% year-on-year across the country. Eggs, fish and meat also sustained their increase rising an annual 11.11% at the combined level. Economists say drought in some states may impact food prices and lack of progress in easing supply side pressures could lead to a sharp spike in food prices.

Wholesale inflation showed a decline that actually was statistically signficant, falling from 7.3% in June to 6.9% for July.

John Lounsbury


Make a Comment

Econintersect wants your comments, data and opinion on the articles posted.  As the internet is a "war zone" of trolls, hackers and spammers - Econintersect must balance its defences against ease of commenting.  We have joined with Livefyre to manage our comment streams.

To comment, just click the "Sign In" button at the top-left corner of the comment box below. You can create a commenting account using your favorite social network such as Twitter, Facebook, Google+, LinkedIn or Open ID - or open a Livefyre account using your email address.



Analysis Blog
News Blog
Investing Blog
Opinion Blog
Precious Metals Blog
Markets Blog
Video of the Day


Asia / Pacific
Middle East / Africa
USA Government

RSS Feeds / Social Media

Combined Econintersect Feed

Free Newsletter

Marketplace - Books & More

Economic Forecast

Content Contribution



  Top Economics Site Contributor TalkMarkets Contributor Finance Blogs Free PageRank Checker Active Search Results Google+

This Web Page by Steven Hansen ---- Copyright 2010 - 2016 Econintersect LLC - all rights reserved