As per the fresh business sector news, food inflation is still in the negative zone for the 3rd successive week, at (-)0.42% for the week ended January 7, largely due to the decline in the costs of onion and vegetables.
As per the statement issued by the Wholesale Price Index (WPI), the food inflation was at (-) 2.90% in the last week. Though, it was above 16 percent in the same week of the last year.
The official note released yesterday states that cost prices of onion were dropped by 75.42 percent year on year during the week under review, and costs of potato slips 23.84 percent in the same period. However, prices of wheat fell by 3.57 percent.
In all, vegetables are now 45.81 percent cheaper in the last week compared to the same period of the last year. Tough, some growth is reported in other food products such as protein-based items.
In addition, pulses prices increased 14.27 percent in the week, milk prices up by 11.48 percent, and egg, meat and fish prices were increased by 19.64 percent year-on-year.
The prices of fruits also increased 10.03 percent in the same period, and cereal prices increased 2.26 percent.
However, the overall inflation stood at 2.47 percent in the week ended on January 7, compared to 0.51 percent in the previous week.