8-5-2009 Inflation rate up at 0.7 per cent

Inflation up to 0.70 per cent on rising food prices

Continued rise in food prices pressed up inflation to 0.70 per cent, Enlarge being for the third week in a row, even as economists did not rule out the possibility of it turning negative soon. Official data showed on Friday.

The inflation rate based on administrator extensive price index had declined for eight consecutive weeks to 0.27 per cent for the week ended March 14, but marginally rose to 0.31 per cent for the week ended March 21.

Among the three major commodity groups, the indices for manufactured products and basic articles rose 0.3 per cent and 0.2 per cent, respectively.

The index for fuel, power, light and lubricants remained unaffected at its previous week's level of 323.

It then declined for two consecutive weeks, before rising again for the next three weeks to stand at 0.7 per cent for the week ended April 25. Between April 18 and April 25, the wholesale price index rose 0.2 per cent to 230.7 from 230.2 the week before, as per the provisional data released by the commerce and manufacturing ministry.