Analysts are, however, optimistic that inflation is peaking and will soon start moderating. Speaking to The Indian Express, DK Joshi, principal economist with CRISIL, said, “With the softening of international crude oil and commodity prices, inflation is expected to peak some time in September. Industrial production has already started decelerating, which shows that consumer demand is slowing down. We may, however, face some food-price inflation as a result of poor monsoons in some parts of the country.”

Behind The figure

• The finance ministry says prices of essential commodities such as food grains, edible oils and vegetables, and others such as kerosene oil have more or less stabilised. The prices of commodities in all the major groups have either declined or remained unchanged

• The annual inflation rate for these 30 essential commodities stood at 6.74 per cent as against 6.54 per cent in the previous week

• The index for primary articles rose marginally to 249.6 from 249.5

• The fuel group index did not change at 380.4

• The manufacturing products index witnessed a significant rise in prices of 0.2 per cent