Retail inflation for October spikes to 4.62%, breaches RBI target of 4%
New Delhi : Indian Economy is passing through one of its tough phases and to make it worse, the retail inflation for the month of October has surged to 4.62%, according to the official data. The surge in inflation is mainly due to rising prices of food and especially onion.
The retail inflation in September had gone to 3.99% due to higher prices of food items. Then it was not a matter of concern as it was close to RBI's target of 4%. The consumer price index (CPI) based inflation was registered at 3.28 per cent in August. In September last year, it was 3.7 per cent.
However, the inflation rate in cereals and other products stood at 1.66 per cent in September against 1.3 per cent in August while vegetable inflation stood at 15.4 per cent in September against 6.9 per cent in August.
Pulses and products recorded an inflation of 8.4 per cent in September against 6.94 per cent in August.
At some places, onion has been trading at Rs 100 per kg. In Dehradun, people there have been badly affected by the rising prices of onions. The wholesale rate of onion is close to Rs 50 per kg in Dehradun.