Indian Express Editorial Summary

Editorial Topic : Roti Dal Sabzi

 GS-3  Mains Exam :  Economy

Revision Notes

Economic Concerns & 2024 Election

• Berozgaari (unemployment) and Mehengai (inflation) emerged as key election issues.
• Inflation, historically blamed on governments, might have had a bigger impact on voters.

Inflation Scenario (Preceding 2019 & 2024 Elections)

• Pre-2019: Low inflation (average 3.3% CPI, 0.03% food) likely aided Modi’s re-election.
• Pre-2024: High inflation (average 5.37% CPI, 7.88% food) with significant rise in staples (roti-dal-sabzi).

Government’s Measures & Challenges

• Measures: Import duty relaxations, export bans/restrictions, stocking limits.
• Challenges: Below-par agricultural production (2023-24), supply disruptions (Covid, war).

New Government’s Priorities

• Inflation control: Continued/extended duty relaxations on food imports.
• RBI’s role: Maintaining interest rates till inflation expectations stabilize.
• Monsoon’s impact: A good monsoon (predicted) could lead to a bountiful harvest.

Conclusion

• Food inflation likely played a role in the election outcome.
• Taming inflation remains a significant challenge for the new government.