Tackling the runaway food inflation train
Nothing can be more ironic than to have food inflation at 18% (August 2013 over last August) in a country that takes pride in enacting the National Food Security Act (NFSA) and bestowing "the right to food" to 67% of its population by promising 5 kg cereals per capita per month (pcpm) at highly subsidised rates.
Given that cereals consumption is 10.7 kg pcpm, people will have to face the markets for at least half of their cereal needs, and much of the other foods ranging from fruits and vegetables to protein. But inflation in vegetables is at 78% with onions going through the roof, and in protein foods at 19%. Even cereals are up at 14%, with the basic staple, rice, at 20%. Much of this is self-inflicted and controllable, provided we are ready to take some bold steps. Read More