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For the week ended June 25, food inflation dropped slightly to 7.61% on account of declining rates of fruits, cereals, and protein-rich articles week-over-week.
But, Finmin Pranab Mukherjee stated that inflationary pressure is expected to continue and total inflation during the month of June could witness some upward movement from 9.06% registered during May 2011.
As per facts issued by the administration, the rates of cereals, rice, fruits and egg, meat and fish dropped by 0.17%, 0.12%, 0.05% and 0.15% respectively.
Though the inflation for non-food primary articles dropped in the week, the fuel and power index rose owing to price increase of diesel, LPG and kerosene declared in June 2011.
Food inflation, assessed by the WPI stood at 7.78% in the previous week whilst it remained at 20% in the corresponding period in the last year.
"There is inflationary pressure in the system and these weekly variations (in food inflation numbers) are mainly because of base effect," Mr. Pranab said.
The minister also said that because of price increase of fuels, the headline inflation would witness an upward movement.
Inflation in overall primary articles remained at 11.56% for the week ended June 25 as against 11.84% during the last week.