Food inflation: Pulses, oil offset pressure from onions, tomatoes

The inflation number was broadly in line with what the RBI had assessed in its latest monetary review

Barring onions and tomatoes, prices of many other food items, particularly of pulses, ruled much below last year's level, bringing down overall food inflation 1.25 per cent in September from 1.52 per cent in August. 

The inflation number was broadly in line with what the Reserve Bank of India (RBI) had assessed in its latest monetary review. 

For consumers, this was good news ahead of Diwali. But for farmers, it meant another year of low prices, which is bound to aggravate rural distress. 
 

A more-than-expected drop in demand and good carryover stock from last year is checking the effect of any drop