Page 9 - Food Inflation

Retail inflation eases to 4.25% in May; April IIP rises 4.2% vs 1.1% in Mar

It was for the second month in a row that retail inflation remained within the RBI's comfort zone of below six per cent

Credit growth expected to moderate to 10% in FY24 from 15% in FY23: Report

The credit growth momentum is waning in the country and the crucial non-food loans growth is expected to slip to 10 per cent in FY24 from more than 15 per cent in FY23, a Japanese brokerage said on Monday. Ebbing inflationary pressures, especially on the wholesale side which tends to lower working capital needs, and a likely moderation in GDP growth to 5.3 per cent in FY24 were cited as the primary reasons for the lower bank credit growth expectation by Nomura. " we expect credit growth to moderate to 10 per cent in FY24 from 15 per cent in FY23," analysts at the brokerage said in a report, adding that the base effect will also be partly responsible for driving the number down. They also said the rate hikes of more than 2.50 per cent by RBI in the current tightening cycle will impact credit growth through a lagged impact on borrowings, and already, there are some signs of a dent on the home loan front. The credit growth momentum is already moderating, the brokerage said, pointing o

WPI inflation at 29-month low in March, prices of manufactured goods dip

It was for the sixth consecutive month that wholesale inflation was down to single digits, after remaining in double digits for 18 months

Workers at poverty-fighting organisation World Bank struggle to pay bills

Andre Blount has been serving food to dignitaries at World Bank headquarters for nearly 10 years and says he has gotten exactly one raise -- for 50 cents. This week, as leaders from around the world are in DC for the spring meeting of the poverty-fighting organisation, Blount and his coworkers are trying to bring attention to what they see as a galling situation: The workers who put food on the table for an organisation whose mission is to fight poverty are themselves struggling to get by. Union leaders say a quarter of the World Bank food workers employed as a contract labourers through Compass Group North America receive public benefits, like SNAP, or food stamps, just to make ends meet. It's sickening, Blount, 33, said as he joined red-shirted union members this week on a picket line outside the development bank on a hot afternoon. They go around the world looking for how to help people, but you have hundreds of employees in DC who are struggling. Inside, meanwhile, suited-up

Soaring milk prices may become a hurdle in Modi govt's inflation fight

"In terms of the outlook for this year, we believe that milk prices will continue to increase, since there is a shortage of milk heading into the peak demand season," said an economist

Inflation may ease in March on softening food prices, says poll

Food inflation, which accounts for nearly half of the overall consumer price basket, is expected to have moderated due to falling vegetable prices, offset in part by surging cereal prices

India's food inflation bites harder as risks build for global supplies

Its average citizen is more affected than people in peer economies

Sweating over milk: India stares at supply crunch as summer sets in

Industry asks government to consider imports as the season of abundant stocks fails this year

Sugar getting even pricier now poses new threat to global food inflation

Prices of refined sugar surged to the highest in more than a decade this week, while the raw variety is near to the costliest in over six years

Storm clouds of food inflation, recession continue this year: Nestle CMD

The "storm clouds of food inflation" and drum beats of recession in parts of the world continue in 2023 but FMCG major Nestle India is prepared to stay anchored through various measures it has undertaken, according to the company's Chairman Suresh Narayanan. In his address to shareholders in the company's latest annual report, Narayanan, who is also the Managing Director, said, "at such times, being boringly consistent matters more than being brilliantly erratic." The company's "steadfast focus" on building volumes, expanding in smaller towns and villages under its "RURBAN' strategy with innovations along with "astutely" managing value and simultaneously nudging the premiumisation trend that is driving economic recovery in parts and will fuel momentum, he said. On the future outlook, Narayanan said, "as we look confidently at the year ahead, the storm clouds of food inflation, acceleration of war and indeed the drum beats of recession in parts of the world continue to surround ...

Retail inflation eases marginally to 6.44% in February from 6.52% in Jan

Retail inflation: his is lower than 6.52 per cent in January but still above the Reserve Bank of India's upper tolerance limit of 6 per cent

Are the markets ignoring the possibility of higher inflation?

Globally, too, sticky inflation seems to be a cause for concern. Last week, two Federal Reserve (US Fed) officials suggested that the US central bank may need to keep interest rates elevated ahead

Government affirms its number, says no 'overestimation' in retail inflation

A number of economists had pointed out that January's retail inflation data may have been overestimated by 23 basis points owing to a variation in the price index for cereals

January retail inflation rises to 6.52%, highest since October 2022

In December, the CPI-based inflation was 5.72% with core inflation at 6.10%

Retail inflation likely rebounded from 12 months low to 5.9% in January

Core inflation, which excludes volatile food and fuel prices, was still running at 6.10% in December, which makes it difficult for the RBI to look away and to keep the tightening cycle going

World Food Programme secures $71mn to address food crisis in Africa

'Targeting 11 countries, the contribution allows WFP to provide life-saving assistance at a time when humanitarian needs continue to soar'

Rising prices of non-perishables may not allow food inflation to cool soon

Inflation being driven by cereals, spices, milk, prepared meals and snacks

GM Mustard won't solve India's edible oil import problem, says Ashok Gulati

Gulati says he is in support of GM mustard, but to say that it will solve India's problem of edible oil imports is a stretch

Global food prices in 2022 hit record high amid drought, Russia-Ukraine war

Global prices for food commodities like grain and vegetable oils were the highest on record last year even after falling for nine months in a row, the U.N. Food and Agriculture Organization said, as Russia's war in Ukraine, drought and other factors drove up inflation and worsened hunger worldwide. The FAO Food Price Index, which tracks monthly changes in the international prices of commonly traded food commodities, dipped by 1.9% in December from a month earlier, the Rome-based organisation said Friday. For the whole year, it averaged 143.7 points, more than 14% above the 2021 average, which also saw large increases. The December decline was led by a drop in the price of vegetable oils amid shrinking import demand, expectations of increased soy oil production in South America and lower crude oil prices. Grain and meat were also down, while dairy and sugar rose slightly. Calmer food commodity prices are welcome after two very volatile years, FAO chief economist Maximo Torero said in

Retail inflation for industrial workers eases to 5.41% in November

Retail inflation for industrial workers eased to 5.41 per cent in November compared to 6.08 per cent in October this year mainly due lower prices of certain food items. "Year-on-year inflation for the month stood at 5.41 per cent compared to 6.08 per cent for the previous month (October 2022) and 4.84 per cent during the corresponding month (November 2021) a year before," a Labour Bureau statement said. Food inflation stood at 4.30 per cent in November 2022 against 6.52 per cent of the previous month (October 2022) and 3.40 per cent during the corresponding month (November 2021) a year ago. The All-India CPI-IW (Consumer Price Index-Industrial Workers for November, 2022 remained stationary at 132.5 points compared to October 2022. The maximum upward pressure in current index came from Miscellaneous group contributing 0.21 percentage points to the total change. At item level, wheat, wheat atta, buffalo milk, cow milk, dairy milk, eggs hen, sunflower oil, onion, chillies dry, cooked