Communist party of India holds gov't responsible for high inflation

The Communist Party of India ( Marxist) Friday held the Congress-led government responsible for high food inflation and demanded its food policies be reversed, according to local daily The Hindu. Commenting on the increase in food prices, with the food inflation rate crossing 11 percent once again, the party Political Bureau in a statement here said the situation underlines the " totally callous approach" of this government. Even vegetables, the cost of which is up by 25 percent, have become a luxury item in India, while pulses, oil, sugar, milk are all costlier, said the statement. "Worse, are the bankrupt arguments from official quarters justifying the price rise as being a deseasonal effect, when as is well known, the prices have less to do with seasonal factors than with the increase in fuel prices," it said, adding that fuel price index is over 14 percent higher this time than last year as a result of the deregulation and eight-time hike in fuel prices. On the other hand, it said, the government has refused to ban speculative trade in agricultural commodities, continues to promote targeting policies, which weaken the public distribution system and on the other hand it has utterly failed to ensure that farmers get a good price for their products.