Highest-ever food inflation increase in September

[Mostar95]

Highest-ever food inflation increase in September

By Mubarak Zeb Khan
ISLAMABAD, Oct 29: Food inflation surged by 13 per cent in September over the same month last year. A finance ministry report said the highest ever increase in food inflation in any month of the fiscal year 2007-08 was due to an extraordinary surge in demand, particularly for fruit, vegetables, milk, meat, poultry and cooking oil during Ramazan.

A sharp rise was also witnessed in wheat and flour prices, driven by extra-market forces. Although, the prices of wheat and flour have declined lately, their contribution to inflation was already realised.

According to the report, food inflation increased slightly to 10 per cent in the first quarter (July-Sept) of the current fiscal year as against 9.9 per cent in the same period last year.

The Ramazan-Eid effect was expected to wear off in November and food inflation was likely to show declining trend thereafter, it said.

The report said the overall consumer price index (CPI)-based inflation registered a decline while the overall inflation fell to 8.4 per cent in September as against 8.7 per cent in the same month last year.

The decline in overall inflation is attributed to a 5 per cent reduction in non-food inflation against 7 per cent in September last year.Core inflation (non-food non-energy) also stood at 5.4 per cent as against 6.2 per cent in September last year. Tight monetary policy pursued by the State Bank of Pakistan is mainly responsible for this decline.

Food inflation has emerged as a major source of concern for the policy-makers in emerging Asia, including Pakistan. Food prices rose at an average of 10.1 per cent and contributed 55 per cent to overall inflation in Asia ex-Japan. The upward trend in food prices is most evident in China (18.2 per cent), India (8.4 per cent), Indonesia (13 per cent) and Pakistan (13 per cent).

During the July-Sept period of 2007-08, average inflation stood at 7 per cent as compared to 8.4 per cent last year. Core inflation was 5.3 per cent as compared to 6.6 per cent and non-food inflation averaged 4.9 per cent as against an average of 7.3 per cent in the same period last fiscal year.

http://dawn.com/2007/10/30/top9.htm

[Mostar95]

Re: Highest-ever food inflation increase in September

This is surely a governement failure both the present and previous ones.

To much extent, it is also due to our food habits. We use a lot of oils in our foods which we import.

While living in London, I noticed one thing: You wont find oil in more than a 2 litre pack in super markets such as Asada, Sainsbury's etc, but it is sold in a pack of 10 litre at a Pakistani grocery store.

[teggy]

Re: Highest-ever food inflation increase in September

ohhhh...lol for a min i thought the topic said 'highest ever food'....i was gonna say 'hash brownies'
heyyyyy we should open a thread like that....

[Ask99]

Re: Highest-ever food inflation increase in September

woah!! that is bad...instead of creating havoc all over the county people need to improve their existance...and yes BB need to go away too

[Spock]

Re: Highest-ever food inflation increase in September

Now wait till they start blaming eid, bari eid and bb's arrival...

[Captain1]

Re: Highest-ever food inflation increase in September

Highest-ever food inflation increase in September

By Mubarak Zeb Khan ISLAMABAD, Oct 29: Food inflation surged by 13 per cent in September over the same month last year. A finance ministry report said the highest ever increase in food inflation in any month of the fiscal year 2007-08 was due to an extraordinary surge in demand, particularly for fruit, vegetables, milk, meat, poultry and cooking oil during Ramazan.

Interesting... "extraordinary surge", well Ramzan always brings surge in demand and that has become an yearly-norm now.... so "highest ever" food inflation? Let Sa1eem defend that, awaiting for 20 para explainations and how it would've been 35% if it were NS or BB in govt.

[Mostar95]

Re: Highest-ever food inflation increase in September

Well the fact is that whoever was on the throne of Islamabad, things would have been more or less same.

[Mostar95]

Re: Highest-ever food inflation increase in September

What the traders have been urging the goverment to freeze the amount of duties and sales tax at the last year international prices of palam and soy bean oils. The governement charges a % of the F&C for custom duty and sales. Any increase in F&C increases the governement revenue. But the government is not willing to do that. Currently they are collecting governement levies of Rs 24 per litre of cooking oild.

[Spock]

Re: Highest-ever food inflation increase in September

Interesting... "extraordinary surge", well Ramzan always brings surge in demand and that has become an yearly-norm now.... so "highest ever" food inflation?** Let Sa1eem defend that, awaiting for 20 para explainations and how it would've been 35% if it were NS or BB in govt**.

lol i see a massive post coming your way skipper...

[Mostar95]

Re: Highest-ever food inflation increase in September

Surprisingly the nation has become zombie. In 1979 when the then FM GIK presented its budget which caused exorbitant increase in prices, people came on roads with violent protest.

[Mostar95]

Re: Highest-ever food inflation increase in September

One of slogans of the 1977 PNA movement - "sadda bhutto shair hai, cheni chay rupay sair hai" and the PNA's manifesto promised to bring back 1971 prices.

[Aalsi]

Re: Highest-ever food inflation increase in September

We should update the items on this picture on a daily basis.

[Mostar95]

Re: Highest-ever food inflation increase in September

Aalsi! This is the most expensive vegetables vendor in Karachi - in Saddar Empress Market! On eid eve he was selling Cumcumber for Rs. 80/= per kg!!!!

[Aalsi]

Re: Highest-ever food inflation increase in September

Mostar Bhaijan, I am most impressed by your knowledge of 'best value' fruit and vegetable vendors in Karachi.

I usually get my vegetables from tehla wala opposite Farid Square in FB Area. If not, then the tehla wala opposite Cafe Piala. :D

[Captain1]

Re: Highest-ever food inflation increase in September

Well the fact is that whoever was on the throne of Islamabad, things would have been more or less same.

I wouldn't say no to that, thats why I believe this regime is no less corrupt than previous ones.

[mAd_ScIeNtIsT]

Re: Highest-ever food inflation increase in September

As the article mentioned, Pakistan's food inflation is in line with the Asian average, which includes both democratic and non-democratic countries.

Therefore, it's safe to assume that no Pakistani government could have produced different results.

[Spock]

Re: Highest-ever food inflation increase in September

^ Why was my ‘God bless Pakistani inflation ’ post removed? I am rejoicing at the unprecedented economic growth…

[mAd_ScIeNtIsT]

Re: Highest-ever food inflation increase in September

^^

That was fine. Bringing Aalsi's name into the end of your post was not.

[Spock]

Re: Highest-ever food inflation increase in September

Oh, I said ‘God bless Aalsi’? Are you not a Muslim?

God Bless Mad Scientist… Will you delete this too?

[Mostar95]

Re: Highest-ever food inflation increase in September

Mostar Bhaijan, I am most impressed by your knowledge of 'best value' fruit and vegetable vendors in Karachi.

I usually get my vegetables from tehla wala opposite Farid Square in FB Area. If not, then the tehla wala opposite Cafe Piala. :D

Aap to hamaray gareen niklyay!