Government accords priority to keep prices under check: Piyush Goyal

Commerce and industry minister Piyush Goyal on Wednesday said the government accords priority to keeping prices under check and that is the reason why inflation is low in India as compared to several developed nations.

He said that a group of ministers regularly meets and discuss the price situation.

"Prime Minister Narendra Modi gives priority to keep prices under check," Goyal told reporters here while briefing about increase of Rs 143 in the minimum support price (MSP) of paddy to Rs 2,183 per quintal for this year.

He added that before 2014, the average inflation rate used to be at 10-12 per cent, but after the Modi government came to power the average rate of inflation in the last nine years has come down to 4.5 per cent.

"On one side we are increasing MSP and on the other hand, we have kept the inflation under control," he said.

The prices in India are much lower when compared to most of developed countries, where inflation is in double digits.

Wholesale prices in India fell for the first time in almost three years in April, as softening global commodity prices brought down food, fuel, and other input costs for producers.

Retail inflation declined to an 18-month low of 4.7 per cent in April mainly due to falling prices of vegetables, oils and fats, and came closer to Reserve Bank's target of 4 per cent, according to the government data.