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Now the morsel will be more expensive, this time it will be insolvent in Diwali; The prices of vegetables and fruits will remain on the seventh sky

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In view of the festive season during Diwali and Chhath, due to increase in demand, inflation is also expected to increase. The inflation rate in September may have been lower than the previous months, but it is expected to increase further in October. According to experts, especially the prices of vegetables and fruits will remain high. The reason behind this is the cost of expensive petrol diesel and heavy rains in the last few months.

Kavita Chacko, senior economist at Care Ratings, told Hindustan that retail inflation in October will be higher than 4.35 per cent in September. However, he has also expressed hope that it may remain below 5 per cent on an annual basis. According to him, almost all areas can see an increase in prices on a month-to-month basis.

In fact, the prices of vegetables have seen an increase in the month of October as compared to September. Behind this, in many areas of the country, the crop damaged due to heavy rains in comparison to last year is believed to be responsible. At the same time, due to the increased cost of transport due to high petrol and diesel prices, the price levels are also increasing.

Government efforts also have no effect

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The recent government efforts to control rising inflation are also proving to be insufficient. The government had reduced the import duty on edible oils this month, but experts estimate that even after this move, the inflation rate of edible oils will remain in double digits. As per the estimates, more than 54 per cent of the total edible oils are imported in the country.

At present, its prices have increased due to increasing consumption around the world. According to global estimates, by July 2021, their prices have increased by about 60 percent as compared to February 2020. In the month of September also, its inflation has seen an increase of 30 percent. There is little chance of further softening of prices in October due to increased demand for the festive season.

Production is also being affected due to labor shortage in palm oil exporting countries like Malaysia and Indonesia. In such a situation, the effort of reducing the duty on the part of the government also seems insufficient. On October 13, the central government had abolished basic custom duty on crude varieties of palm, soybean and sunflower oil till March 2022.

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