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Inflation hits: Food and transportation prices rise, gold and silver prices surge; new limits on diesel purchases

New Delhi. Inflationary pressures appear to be rising again in the country. Retail inflation rose to 3.93 percent in May, up from 3.48 percent in April. For the first time in five months, retail inflation has risen.

Inflation has approached the Reserve Bank of India's target of 4 percent. The main reasons for this increase are believed to be rising food and transportation costs.

According to the data, retail inflation was 2.74 percent at the beginning of 2026, and steadily increased to 3.93 percent in May. Inflation increased by 0.45 percent in May compared to April, marking the fastest monthly increase in the past 16 months.

Meanwhile, gold and silver prices also saw a significant increase. On June 12, silver prices rose by ₹9,991 in a single day to reach ₹2.43 lakh per kilogram. Meanwhile, 24-carat gold rose by ₹3,018 to reach ₹1.48 lakh per 10 grams.

The government has also issued new orders regarding fuel sales. Consumers will now be limited to a maximum of 200 liters of diesel per day. Furthermore, factories and large commercial consumers will not be allowed to purchase diesel from retail petrol pumps.

They will have to use bulk sale points for their fuel needs. This arrangement has been implemented for an initial period of 90 days.

The government has taken this step in response to unusually high sales at petrol pumps in some areas. Officials say this will help maintain fuel availability for ordinary consumers.

Meanwhile, food safety measures have also intensified. Following complaints of insects found in some Maggi packets, the Food Safety and Standards Authority of India (FSSAI) has sought a response from the company and ordered the withdrawal of the affected batch from the market.


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Lok Manjari

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