Decline in WPI Inflation is motivating: PHD Chamber

Decline in WPI Inflation is motivating: PHD Chamber

Decline in WPI Inflation is motivating: PHD Chamber

No.PR-86
August 14, 2014
New Delhi

 

Decline in WPI Inflation is motivating: PHD Chamber

Decline in WPI inflation to five months low is really encouraging and would pave the way for growth to pick up pace in the coming times, said Mr. Sharad Jaipuria, President, PHD Chamber in a press statement issued here today.

The WPI inflation for the month of July 2014 declined to 5.19% in July 2014 from 5.43% in June 2014. The decline in WPI inflation is attributed mainly to decline in the prices of fuel costs.

The moderation in inflation despite the seasonal firming up of prices of fruits and vegetables is setting room for soft monetary policy stance in the coming times, said Mr. Sharad Jaipuria.

The recent announcements made in the Union Budget to improve agriculture infrastructure would go a long way to facilitate farm produce to deliver at consumers’ doorsteps, he said.

As the monsoon scenario is not that much promising in the current year, the government should take measures to mitigate the impact of deficient monsoon on prices of agricultural commodities, he said.

In view of the heavy dependence on monsoon for agriculture produce, it is necessary to facilitate farmers in the bad years by ensuring increased power supply, availability of fuel etc to farmers so that the sowing process is completed without delay, said Mr. Jaipuria.

Further, ensuring credit availability to small & marginal farmers to adopt modern farm techniques and implementation of farm insurance schemes to take care of crop losses due to unforeseen natural calamities is necessary for increasing farm productivity in the coming times, concluded Mr. Sharad Jaipuria.
ENDS
Koteshwar Prasad Dobhal
Consultant (PR)