PM calls for upping production to cut inflation

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Salem, Tamil Nadu, Sep 5 (UNI) Asserting that the Centre had taken steps to moderate rise in prices, Prime Minister Manmohan Singh today called for stepping up production in all sectors to bring down the inflation.

Addressing a gathering after laying the foundation stone for modernisation and expansion of Salem Steel Plant here, Dr Singh said ''to ensure non-inflationary growth, we must step up production in all sectors.'' In the XI Plan period, the economy was expected to grow at around nine per cent, but we have to ensure that this growth process was not inflationary.

We must step up productivity and increase output in agriculture, manufacturing and services.

The last few months, because of the steep increase in the prices of petroleum products and primary commodities, inflation and its control have emerged as major concerns of policy.

''We have taken steps to moderate rise in prices. In so doing, we have also tried to ensure that inflation control measures do not hurt the growth momentum we have built up during the last four years,'' he said.

Dr Singh said the recent upsurge in prices of steel products in India and across the world was a matter of concern for the government.

This was partly reflected in global demand-supply imbalances and esclating cost of internationally sourced raw materials like coal.

He appealed to the Indian steel producers to take all possible measures to maintain reasonable price stability.

As responsible corporate citizen, he was sure that the Indian steel producers would see the wisdom of helping the government to control inflation.


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