CPI(M) leader Sitaram Yechury has said the government’s steps to control inflation could act against the high growth rate. “Inflation has not occurred because people are demanding more food. Speculation trade is the cause of the increase in the rate of food articles,” he said at the CII meet. “You have a dip in manufacturing, you already have a decline in the sale of consumer durables. You are in fact setting in motion a process of a slowdown of the Indian industry by this wrong diagnosis,” he added.But Congress leader and Union Minister Kapil Sibal didn’t share his perception. “Aren’t there hoarders everywhere? That is why there is hoarding in West Bengal and inflation is going up in the state. The West Bengal government should take care of that,” said Sibal.“An expert committee has said that there is no evidence to show that forward trading has led to rise in prices. And we have already banned forward trading in some items,” he added.
