'Food prices to come down by Mar-Apr'

Food inflation is expected to cool off in the next two months from the current high of about 18 per cent on expectation of better Rabi (winter) crop, Prime Minister's economic panel member said today.

"Food inflation would come down by March-April as we are expecting a good Rabi production this year," V S Vyas, member of Prime Minister's Economic Advisory Council (PMEAC) told reporters on the sidelines of the launch of a book on agriculture 'MillionFed'.

He said wheat and boro rice harvest during the Rabi season is likely to be good and it will help in containing food prices in the coming days. Sowing for Rabi crops like wheat and pulses is almost complete and the crop will be ready by March-April.

Vyas said, "We will be able to control food inflation after the arrival of Rabi crop in the next two months."

Pointing out that the current price surge is a result of supply side phenomenon, he said, "There is a need to bolster supply to contain food prices, which is continuously rising in the recent past. There is a danger of food inflation spreading to the general inflation."

The overall inflation during December has risen to more than a year's high of 7.31 per cent led by food inflation, which stood at 17.28 per cent for the week ended January 2.