Food inflation is manageable, people won't feel pain: Piyush Goyal

Tells India Inc to focus on value-added exports, ensure jobs come into the country

Union Minister for Commerce and Industry, Piyush Goyal on Tuesday said overall food inflation is presently manageable and the common man will not feel the pain.

Addressing the event ‘India at 75: Strategic Outlook’ at the World Economic Forum (WEF) annual meeting in Davos, Goyal said even as challenges continue to remain on the economic front, the government is conscious of moving forward and is aware of what to focus on.

Goyal also said India was producing enough wheat for domestic consumption, as some countries face shortages due to the rise in prices and problems in procuring grain from major producer Ukraine, after the Russian invasion.

“India never was a player in the wheat market, and started exporting the grain two years ago. We lost production due to severe heat waves this year, but we have enough to provide for the domestic consumption with a slight surplus,” he added.

Speaking at the same event, Union Minister of Petroleum and Natural Gas, Hardeep Singh Puri, said crude oil prices of $110 a barrel were not sustainable, as the world faces an energy price crisis, which is contributing to rising global inflation.

“For a country which imports 85 per cent of crude and 50 per cent of gas, global prices certainly affect. But PM Narendra Modi has been responsive to the needs of the people,” he added.

Earlier in the day, Union Minister Piyush Goyal expressed concern about India’s “overdependence” on international supply chains, and urged the industry to focus on value-added exports.

At a time when the world is recovering from the shocks of the pandemic and the Russian invasion of Ukraine, Goyal said businesses around the world are looking to invest in India.

“When we talk to business and political leaders around the world, they have huge expectations and hopes from India… looking at investing in India in a big way. In every sector, I get a sense that people are keen to come and work with India and they have a vested interest... which is the large Indian marketplace, economies of scale of production from India can help you become more competitive at the world stage… it is now for all of us to grab the opportunity,” the minister said while addressing a breakfast session, called Discussion on Trade 4.0, in Davos, Switzerland.

Goyal, who is in charge of key portfolios of commerce and industry, consumer affairs, food and public distribution and textiles, is currently leading a team from India at the World Economic Forum (WEF) in Davos.

“Today, India has to look at value-added exports. India has to look at jobs coming into the country rather than raw materials going out of the country. And a serious effort has been made to move in that direction,” Goyal said.