Chennai: Prime Minister Manmohan Singh on Saturday acknowledged prices of essential commodities were high but said they would fall because of an expected bumper food production.
Though the inflation had come down, the prices of essential commodities were high. “The prices will come down since we expect a bumper crop this year”, he said.
“Our granaries are full and we will end the current year with record food stocks. Foodgrain production, which was only 213 million tonnes in 2003, hit a record of 231 million tonnes in 2007-08,” he said.
Singh said his government had initiated various farmer-welfare programmes, including better support prices, and India was now producing bumper crops.
He said the five years of UPA rule had bettered the previous NDA rule on the economic front, saying Indian economy grew at an “unprecedented” growth rate of 8.5% during its tenure.
“Over the last five years, our economy has grown at an average rate of about 8.6 percent per year, a growth rate unprecedented in the history of India. In contrast, average growth rate during NDA period was only 5.8%. Growth of agriculture had gone up twice”, he said.
Depite the global downturn, India’s growth will stay above six percent, he said adding India was able to handle the economic downturn much better than most other countries.
Speaking on Centre-state relationship, he said more than Rs56,000 crore had been allotted to Tamil Nadu during UPA’s rule.