The rise in food inflation was on account of rise in pulses (4.86%) and potato (14.91%). Prices of egg, meat and fish rose to 13.17% as against 9.28% previous week.

The primary articles which contribute 20.12% in overall inflation stood at 11.43% as compared to 12.17% for the previous week.

The fuel inflation also rose to 14.69% as against 13.96% previous week due to rise in petrol prices.

India's annual inflation rate for August stood at 9.78%, close to double digit.

The Reserve Bank has raised key policy rates by 12 consecutive times to tame inflation, which has had no effect on stubborn inflation figures.

High inflation rate in India is also putting pressure on corporates as their raw-material cost is going up.

Raising concerns on this, India's leading beverage majors such as Coco Cola and Pepsico have said high raw material prices are affecting their businesses, forcing them to adopt cost effective measures to offset high input cost.

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