Lok Sabha Question No. 578 (UNSTARRED), answered on 2016-02-26
Subject: Inflation
Ministry: FINANCE
Asked by: P. KARUNAKARAN

- (a) the present inflation rate viz-a-viz the details of inflation rate during the last three years; and
- (b) the measures taken by the Government for controlling the increasing inflation?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI JAYANT SINHA)

- (a) The present inflation rate and the inflation rate during the last three years based on Wholesale Price Index (WPI) and Consumer Price Index- Combined (CPI-C) is given in Table 1 below:
- (b) The Government has been regularly monitoring prices of essential commodities and overall  inflation.  It  has  undertaken  a  number  of  measures  to  curb  inflation,  in particular, food inflation. The steps taken, inter alia,  include, (i) banning exports of all pulses except kabuli channa and up to 10,000 Metric Tonnes (MT) of organic pulses and lentils; (ii)  allowed zero import duty on pulses; (iii)  imported  tur and onion to augment supply, (iv)  taken decision to create buffer stock for pulses of 50,000 MT of Kharif  pulses  and  1  lakh  MT  of  Rabi  pulses  through  domestic  procurement  and import; (v) implemented a new Plan Scheme titled Price Stabilisation Fund (PSF) to regulate  price  volatility  of  agricultural  commodities;  and  (vi)  issued  advisory  to States/UTs  to  take  strict  action  against  hoarding  and  black  marketing  under  the Essential  Commodities  Act  1955  and  the  Prevention  of  Black-marketing  and Maintenance of Supplies of Essential Commodities Act,1980.

| Table 1: Inflation based on WPI and CPI (in per cent)                                            | Table 1: Inflation based on WPI and CPI (in per cent)                                            | Table 1: Inflation based on WPI and CPI (in per cent)                                            | Table 1: Inflation based on WPI and CPI (in per cent)                                            | Table 1: Inflation based on WPI and CPI (in per cent)                                            | Table 1: Inflation based on WPI and CPI (in per cent)                                            |
|--------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------|
|                                                                                                  | 2012-13                                                                                          | 2013-14                                                                                          | 2014-15                                                                                          | 2015-16 (Apr-Jan) P                                                                              | Jan-2016 P                                                                                       |
| WPI                                                                                              | 7.4                                                                                              | 6.0                                                                                              | 2.0                                                                                              | -2.8                                                                                             | -0.9                                                                                             |
| CPI- Combined                                                                                    | 10.2                                                                                             | 9.5                                                                                              | 5.9                                                                                              | 4.9                                                                                              | 5.7                                                                                              |
| P: Provisional Source: Department of Industrial Policy and Promotion, Central Statistics Office. | P: Provisional Source: Department of Industrial Policy and Promotion, Central Statistics Office. | P: Provisional Source: Department of Industrial Policy and Promotion, Central Statistics Office. | P: Provisional Source: Department of Industrial Policy and Promotion, Central Statistics Office. | P: Provisional Source: Department of Industrial Policy and Promotion, Central Statistics Office. | P: Provisional Source: Department of Industrial Policy and Promotion, Central Statistics Office. |

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