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Thursday, December 10, 2009

Food price index up 19.05 pct y/y on Nov 28 - gov

India's food price index rose 19.05 percent in the 12 months to Nov. 28, while the fuel index was up 0.06 percent, the government said on Thursday.The driest spell in nearly four decades and floods in some parts of the country have trimmed farm output and pushed up food prices.

On Wednesday, India's central bank governor Duvvuri Subbarao said rising food price could fuel inflationary expectation and monetary policy would have to take a nuanced view.

India's annual wholesale inflation rose 1.34 percent in October from a year earlier, compared with 0.5 percent in September and 11.06 percent a year ago.

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