FM says growing demand fueling food inflation

Mumbai: Expressing concern over high food inflation, Finance Minister Pranab Mukherjee on Monday attributed the reason for rising food prices to growing demand for certain products. "Food inflation is a matter of great concern," he said in an event near here.

On food inflation data, he said, "The recent spike in inflation for the last three weeks…principle reason is that the demand for eggs, meat, vegetables and milk has increased." Food inflation touched a nine-month high at 12.21 per cent for the week ended October 22.