Cheaper food items bring inflation to 5.66 pc

New Delhi, May 13: The headline inflation further dipped to 5.66 per cent for the week ended April 28, as compared to 5.77 per cent the previous week due to a marginal decline in food prices.

The annual rate of inflation, calculated on a point-to-point basis, stood at 3.90 per cent during the corresponding week of the previous year, according to official figures issued here.

Finance Minister P Chidambaram on Tuesday said the measures taken by the Government would bring down the inflation rate but the long-term solution to the problem lies in correcting the demand-supply mismatch in essential commodities.

''The demand-supply gap in wheat, pulses and edible oils, hardening of international prices of metals and crude oil, a rapid rise in credit, buoyant foreign investments and a high growth momentum have pushed up the inflation rate,'' said Mr Chidambaram. The Wholesale Price Index (WPI) for all commodities for the week ended April 28, remained unchanged at its previous week's level of 210.9.

The index for the primary articles group declined by 0.2 per cent to 218.8 from 219.2 for the previous week.

The index for food articles group declined marginally to 218.3 from 218.4 for the previous week due to lower prices of bajra, gram and barley (2 per cent each) and poultry chicken, maize, wheat and condiments and spices (1 per cent each).

However, the prices of moong (2 per cent) and masur, milk and arhar (1 per cent each) moved up.

The index for non-food articles group declined by 0.5 per cent to 204.2 from 205.2 for the previous week due to lower prices of raw rubber (8 per cent), raw cotton (4 per cent) raw jute (3 per cent), sunflower (2 per cent), gingelly seed (1 per cent).

However, the prices of soyabean (6 per cent), castor seed (5 per cent), groundnut seed (2 per cent) and cotton seed, rape and mustard seed, linseed and copra (1 per cent) moved up.

The index for fuel, power, light and lubricants group remained unchanged at its previous week's level of 320.5.

The index for this major group rose by 0.1 per cent to 183.7 from 183.5 for the previous week. The index for food products group rose by 0.2 per cent to 187.0 from 186.7 for the previous week due to higher prices of bread and buns (4 per cent), biscuits, sugar and sweet meat confectionery (3 per cent each), cattle feed (2 per cent) and rape and mustard oil, ghee, cotton seed oil, gur and oil cakes (1 per cent each).

However, the prices of sugar (1 per cent) declined.

The index for beverages tobacco and tobacco products group rose by 2.4 per cent to 256.3 from 250.4 for the previous week due to higher prices of pan masala (20 per cent) and bidi (5 per cent).

The index for textiles group declined by 0.2 per cent to 132.5 from 132.8 for the previous week due to lower prices of hessian and sacking bags and hessian cloth (3 per cent each).

The index for chemicals and chemical products group declined by 0.1 per cent to 197.5 from 197.7 for the previous week due to lower prices of acid (3 per cent) and caustic soda (2 per cent).

However, the prices of titanium dioxide (6 per cent) moved up.

The index for non-metallic mineral products group rose by 0.6 per cent to 203.7 from 202.4 for the previous week due to higher prices of building bricks (22 per cent) and ceramic tiles (4 per cent).

The index for basic metals alloys and metal products group rose by 0.1 per cent to 242.7 from 242.4 for the previous week due to higher prices of zinc (8 per cent) and zinc ingots (1 per cent).

However, the prices of lead ingots (2 per cent) declined.

The index for machinery and machine tools group rose by 0.1 per cent to 162.2 from 162.1 for the previous week due to higher prices of power driven pumps (2 per cent) and air and gas compressors (1 per cent).

However, the prices of gls lamps (1 per cent) declined.

UNI