Pawar - Price of wheat going up because south indians are eating more chappatis Kamal Nath - Prices going up since poor are now eating 2 meals a day so demand has shot up PM and FM - Agriculture in trouble because of NDA 4 years back, also inflation is imported, nothing can be done, these 2 gentlemen have no role to play in anything except ofcourse devise new ways to increase taxes on aam admi Pawar - Wheat is cheapest in India compared to world prices Sonia - Unheard, disappeared from the scene
Finally, we are to blame, we either go and elect them or donot go out to elect anyone !!
Believe the staggering high of inflation in India is not only because of our internal price hike in various commodities but also commodities rate hike in world market as well.
Here, is the proper analysis:
If you see our internal price measurement index,shows that on minerals there is an increase of 34% in the year of 2008 alone. Increase price of cooking oil in world market gone up by 17% in 3rd QTR of 2007 to till now and as per your knowledge we are the 2nd major importer after China of cooking oil from Malysia. Huge price flactuation on Gold,and Crude oil could damage the further centiment of our middle class economy. At the end it lead the inflation up by 7.07% in 1st QTR of 2008. It is not only in India, other major growing economy also facing the similar problem like in China, the inflation rate is above 10%, so as in Brazil & Mexico.
Here are the few immediate solutions need to be follow: 1. If we want to curve down the inflation, then we need to control the price index of India and that could only happen to export less rice and wheat to maintain a balance in our domestic demand.
2. RBI need to appreciate the rupee valuation against USD and EURO so that we can pay less money while we import these cooking oil and crude oil from world market. Thailand(World's largest rice exporter)& Indonesia(3rd largest) already taken these steps to appreciate their local currencies. 3.RBI should further cut down the interest rate,though bank's are facing the tough time.
Last time while inflation increases our FM and Cngress blamed futures trading and black marketing of big food corporates for the situation.Now what they are going to tell. Inflation in india is also a part of world's present ecnomic condition. but how UPA govt is going manage it is important. either professionaly or simply blaming others like communist way.
RE:This is lie.
by Chander Malik on Apr 05, 2008 04:53 AM Permalink
Inflation is not measured by few good price hike. Its an average of some goods index.
RE:This is lie.
by innocent on Apr 05, 2008 05:14 PM Permalink
hi all, no one really knows what is thesenumber and you guys are seriously discussing. hahahahha. it is a convenient tool in administration to manipulate it. now it is beyond any one control so the number is increasing.
RE:Congrats
by Chander Malik on Apr 05, 2008 04:51 AM Permalink
Mr. Y. Singh, Inflation is not created by Harvard grad, PC. Its true his right time vision could tame it but with the growth india is growing, inflation is invited. Its us who are going buoyant with such liquidity in market. The companies know that people have got money and they are going to spend and on other side less supply of goods have increased its demand. and this a lower middle man is getting affected. RBI has continuously taking measures to check it but the kind of growth India has seen in last 4-5 years , it will take time to tame the reverse its adverse reaction i.e. inflation. Today people are keen to take loan doesnt matter on what rate. Even increasing the interest rate are not helping. We need to spend with caution in this time and save money so that spending goes less and demand and supply gets equal.
RE:Congrats
by Y Singh on Apr 05, 2008 01:16 PM Permalink
I do not argue on your points as you're absolutely right on about what you said. Nevertheless, did you notice that in the budget, there's a distribution profile of Rs 120K Crores? This money can not be offset without the printing press working overtime. Not only that, he has made further provisions of loans (which apparently will not be repaid). Who'll pay this money - will it come from the same dhoti or will it be an additional load on our taxpayers? Just get practical. The banks have to balance their books anyway. He wants to charge STT on the commodity markets and other probable derivatives (may be forex, treasuries, CFDs, warrants - whatever etc). The derivatives market doesn't have enough liquidity and if our ?Harvard guy wants to kill it at the budding stage itself with higher taxes (where he's hoping to generate huge revenue), what's the big idea behind it?
What you said is unarguably true. If the situation is like this, do you think we should resort to the measures that'll generate further kind of gyrating inflationary pressures?
RE:Congrats
by innocent on Apr 05, 2008 05:17 PM Permalink
ok, what is net result or bottom line say. only common man suffer irrespective of anything ?!?!
RE:Congrats
by G A on Apr 05, 2008 12:54 PM Permalink
Who has created this myth of inflation with growth ? Growth of what ? Goods , money supply, lies , what ? USA grows year after year with low inflation, why this theory applies to India only/
Not only in India Inflation is increasing globally Wheat and Milk prices are increased globally. Over the last year the price of eggs went up by 33.7 percent, whole milk 31.1 percent, and navel oranges were up by 13.6 percent in the U.S. according to a government report. Other dramatic increases included fresh chicken up by 8.4 percent, apples up by 8.7 percent, and dried beans up by 11.5 percent. Globally, prices of wheat and milk are at historic peaks. Corn and soyabean prices have also risen steeply. Wheat surpassed $9 a bushel for the first time as a drought in Australia and Canada.
RE:Inflation at new high Globally.
by Amit Sharma on Apr 05, 2008 01:31 AM Permalink
Loga....U living in INDIA or US? Y d Phuck u care bout price rise in India or rest of world for dat matter....its lack of vision of our govt n agriculture deptt..they were in hurry of exporting wheat n rice...which they r Importing now...great phuckin congress govt...n more then Great our Finance Minister, Harvard Graduated fool
RE:Inflation at new high Globally.
by Chander Malik on Apr 05, 2008 04:59 AM Permalink
Dont worry Mr. Amit Sharma.We will see ur BJP govt this time that how they bunch of fool can tame inflation. Have you forgot the prices of Onion in BJP rule in Delhi. and Why dont you go and do his job. Its easy to say him fool sitting here. If you have such knowledge then you can do his job.
RE:Inflation at new high Globally.
by Amit Sharma on Jun 22, 2008 12:25 AM Permalink
dude....grow up....Onion Price was a man made tragedy..n if i say who did dat u will say IM A BJP man...but fact of matter is reality is always bitter...n dont tell me u know better...I live in delhi.... if u wanna talk bout price rise....lets talk bout % of price rise of all d commodities in BJP and Congress terms...y only be focused on onions..n bjp govt of dat time gave up power coz of dat reason...can congress do dat taking the responsiblity of the mess or as usual they gonna sing one song...dat it was due to policies of previous BJP govt we r seeing this crisis.... sycophants
Sonia and Manmohan gang have been forcing Indian banks to support dollar by buying dollar. As everyone with elementary knowledge know that American fed is printing dollars like Monopoly game money. Thus supporting dollar is the stupidest idea. India is importing inflation by not letting rupee appreciate against dollar. Dollar is becoming a virus in the world financial system because these people keep printing dollars and most of the commodities are traded in dollars. America is killing dollar by its actions and any currency that is artificially pegged to dollar is bound to suffer and its value would go down. India should diversify its foreign reserves urgently and should also buy gold.
RE:Buying dollars with rupees
by M Kisan on Apr 05, 2008 12:56 AM Permalink
your other points are understandable and probably valid, but why did you suggest buying gold. As its we do not have our basic requirements for most of the people. Should we eat cake, if there is no bread?
RE:Buying dollars with rupees
by Amit Sharma on Apr 05, 2008 01:34 AM Permalink
M Kisan....wat sameer said is exactly the thing which is happening..Infact most of Oil producing countries r adopting to Euro... only Country saving skin of US is China...coz there forex reserve r in $ n only $...d day they throw there $...we will have 40$ in one RS..lol n Mind u....this Chinese control of $(indirectly) can put india in tight spot later or sooner(in case of chinese claim of A.P. and sikkim)
Inflation is the effect of reverse remittance / investments. The only way to compensate this is by increasing consumption without borrowing. There is lot of money held with private individuals and govt. should make sure that it creates a favorable climate for the private individuals to spend and invest the money without any fear.
