Feb. 10: Food inflation, which measures the rise in food prices, fell to a seven week low of 13.07 per cent for the week ending January 29. The drop is being attributed to a sharp fall in prices of onions, potatoes and vegetables from the previous week as supply chain shocks are resolved.
However, the number is still uncomfortably high and is expected to remain so. The Reserve Bank of India is expected to push for higher interest rates in the coming months to push down prices. Compared to the previous week, prices of potatoes, vegetables and onions have fallen by 16-21 per cent.