Speaking to reporters, he said, "The situation will definitely change after Mar-end."
Food inflation has been hovering around 17-18 per cent over the last few weeks, driven by high prices of certain items such as potatoes, pulses and sugar.
He said the inflation is high because the current price is compared with the rates of the year-ago period.
"We have to admit that prices of important items like rice, wheat, pulses and sugar are showing declining trends," he said.
When asked about the decision of the government to allow sugar exports to the European Union, Pawar said he was not aware of it.
Directorate General of Foreign Trade has recently allowed export of 10,000 tonnes of sugar to the EU.