"Year-on-year inflation for the month (April) stood at 5.14 per cent compared to 5.64 per cent for the previous month and 5.45 per cent during the corresponding month of the previous year," the labour ministry said in a statement on Monday.
Surging input prices, rural disruptions twin risks to inflation: Crisil
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It said the rising spread of Covid-19 infections in the hinterland could lead to disruptions in food production and its transportation to the wholesale markets, and further localised lockdowns could slow down mandi arrival rates even more and lead to upward pressure in the coming months.
Agencies
Upside risks to inflation are rising due to harening of global commodity prices along with rural supply side disruptions.
Ratings agency Crisil on Wednesday said that surging input prices and rural economy disruptions brought on by the intensification of the second Covid-19 wave are the two upside risks to inflation that have have begun to kick in.
It said the rising spread of Covid-19 infections in the hinterland could lead to disruptions in food production and its transportation to the wholesale markets, and further localised lockdowns could slow down mandi arrival rates even more and lead to upward pressure in the coming months.
"Point-to-point rate of inflation based on the CPI-AL (Consumer Price Index for Agricultural Labourers) and CPI-RL (Consumer Price Index for Rural Labourers) decreased to 2.66 per cent and 2.94 per cent in April 2021, from 2.78 percent and 2.96 per cent, respectively, in March, 2021," the labour ministry said in a statement.