Food inflation remained in the negative zone for the third consecutive week. For the week ended 7th of this month, it was minus 0.42 per cent. The fall in prices of onion and other vegetables have been attributed for inflation downward trend.
Food inflation was at minus 2.90 per cent in the previous week. It was above 16 per cent in the corresponding week of 2011.
Official data released today said onion prices were lower steeply by 75.42 per cent year-on-year during the week under review, while potato prices were down by 23.84 per cent. Prices of wheat also fell by 3.57 per cent.
Overall, vegetables were 45.81 per cent cheaper during the week under review than in the same period last year. However, other food products, led by protein-based items, became more expensive on an annual basis.
Pulses prices were 14.27 per cent higher during the week under review, while milk grew dearer by 11.48 per cent. Egg, meat and fish prices were up 19.64 per cent year-on-year.
Fruits also became 10.03 per cent more expensive on an annual basis, while cereal prices were up 2.26 per cent.
