Government's worrying news on the day of voting, retail inflation rose to 6.01%, Center reduced cess on palm oil

On the day of the second phase of voting, the news that raised the concern of the government came, then the central government gave a big relief
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On the day of the second phase of voting, the news that raised the concern of the government came, then the central government gave a big relief to the people associated with crude palm oil. Read latest update...

Retail inflation rises again
Retail inflation rises again | Twitter

Retail Inflation Rises: There is bad news for the government during the assembly elections in five states. Inflation, which bothers the common people the most, has increased once again. In the figures released by the government on the day of the second phase of voting, it has been told that the inflation rate has increased to 6.01 percent. Retail inflation rose to 6.01 percent in January on the back of some food products becoming costlier.

Inflation exceeds RBI's expectations

This level of retail inflation is above the satisfactory range of the Reserve Bank (RBI). The consumer price index (CPI) based inflation rate stood at 5.66 percent in December 2021 and 4.06 percent in January 2022. According to the data released by the National Statistical Office (NSO) on Monday, the inflation rate in food products stood at 5.43 percent in January 2022, from 4.05 percent in the previous month.

Challenge to maintain retail inflation rate at 4 percent

The Reserve Bank of India mainly looks at the Consumer Price Index based inflation (CPI) while considering monetary policy. The government has given the responsibility to the central bank to maintain the retail inflation rate at four percent with two percent fluctuations. Let us tell you that in the elections of Uttar Pradesh, Punjab, Uttarakhand, Manipur and Goa, the leader of the opposition party is besieging the Bharatiya Janata Party fiercely on the issue of rising inflation.

Center cuts cess on crude palm oil

In the wake of rising inflation, the central government has announced a cut in the agricultural cess on crude palm oil (CPO). The Ministry of Consumer Affairs, Food and Public Distribution on Monday announced reduction of agricultural cess on crude palm oil to 5 per cent. Earlier, 7.5 percent agricultural cess (cess) had to be paid on crude oil. The government has said that it has come into force from February 12.

Import of refined palm oil increased

It is pertinent to mention here that before the reduction in the cess on crude palm oil, its imports had accelerated. Before the tax cut, the gap between imports of crude palm oil and refined palm oil had increased to 8.25 per cent. In view of this, the government has announced a reduction of 2.5 percent in the cess on crude palm oil.