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Understanding Food Inflation in India

Publisher: Asian Development Bank

Persistently high food inflation has been one of the major concerns facing India over the last few years. With nearly a quarter of the population living below the poverty line in the persistence of food inflation at high levels is extremely undesirable, In this paper we analyse the behaviour and determinants of food inflation over the past. We find that since 2008, food inflation has been higher than non-food inflation leading to an increase in the relative price of food. Various components of food inflation including cereals, pulses, fruits, vegetables, meat and fish have been significant contributors to food inflation at different points in time, thereby indicating a broad nature of the problem

Author(s): Rudrani Bhattacharya, Narhari Rao, Abhijit Sen Gupta | Views(284) | Download (155)

  
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