1 Uncorrected/ Not for publication- 08.12.2009 SSS-AKG/11.00/1A ...

221Uncorrected/ Not for publication- 08.12.2009demand. He also said that the country is facing a little different situationfrom region to region. In villages, the situation is different. Our peoplefrom villages want better price to their products and in urban areas theprices should be proper, at a particular level. So, there is a sort ofcontradictory situation in what he says and I entirely agree with him.While I go into the details about the specific scenario regardinginflation of the essential commodities today, I would like a fact to bekept as a backdrop in mind. The annual rate of inflation in food articlesis currently 17.5 per cent. This is a matter of great concern. Although,the annual rate of inflation based on monthly WPI stood at a low level of1.34 per cent for the month of October, 2009, the high inflation in foodarticles is certainly disturbing. I do not deny that, we accept that. Weare quite serious about that. Though there has been an increase in thetotal foodgrains production in 2008-09, the production of some of theitems, say, some varieties of pulses is low. Sugar has been altogetherdifferent. The first advance estimated production of major agriculturalcrops in 2009-10 for kharif would be 96.53 million tonnes, which is lowerthan the first advance estimate of last year, which was expected to be115 million tonnes. So, practically, we are coming down from 115 to 96.India is not self-sufficient in some of the agricultural commodities,as I said, particularly, edible oil and pulses. That is why, I said that wehave no choice but to import. But, simultaneously, certain importantdecisions have been taken by the Government of India to provide abetter price to the farmer. For instance, the Minimum Support Price forwheat has been increased from Rs.640 per quintal in 2004 to Rs.1,100per quintal this year.(Contd. by sss/4g)