Kolkata: Union Finance Minister Pranab Mukherjee here on Saturday said the Central Government is trying to improve supply of farm products in a bid to arrest food inflation in the coming weeks.

Pranab was in the state capital to attend a programme here. Expressing serious concerns over the double digit food inflation, Pranab told the reporters “Of course seasonal factors directly influences price rise, but supply of agricultural products equally plays critical role.”

The government will improve agricultural products supply so that situations of artificial scarcity which leads to price rise can be avoided.

Considering it as a significant step Pranab hoped to have remarkable impact on price rise in the coming weeks.

However, in a bid to regulate price rise, Reserve Bank has revised its monetary policy. But its impact is far reaching.

In short and medium term, we are trying to improve the supply constraint so that the moderating influence of the inflation is felt in the coming weeks, Pranab said.

Food inflation was recorded at 10.05 percent for the week ended August 20, with onion, fruits, vegetables and other items turning more expensive.

JPN/Bureau