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Dynamics of Food Inflation: Assessing the Role of Intermediaries

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  • Sugandha Huria
  • Kanika Pathania

Abstract

The recent upsurge in the food prices experienced by the Indian economy since the latter half of 2000s has made it imperative for the policymakers to identify the crucial factors, which affect food prices within the economy. Against this backdrop, the present article determines the various key factors impacting the prices of food grains, specifically elucidating the role of intermediaries in this regard. By applying the autoregressive distributed lag (ARDL) approach to cointegration and quantifying the role of intermediaries by computing the price wedge between wholesale and retail prices of food grains, the study establishes the existence of both short-run and long-run relationships between price wedge and food grain inflation.

Suggested Citation

  • Sugandha Huria & Kanika Pathania, 2018. "Dynamics of Food Inflation: Assessing the Role of Intermediaries," Global Business Review, International Management Institute, vol. 19(5), pages 1363-1378, October.
    • Handle: RePEc:sae:globus:v:19:y:2018:i:5:p:1363-1378
    DOI: 10.1177/0972150918788763
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    References listed on IDEAS

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    Cited by:

    1. Ramesh Chandra Das, 2021. "Does Minimum Support Price Have Long-Run Associations and Short-Run Interplays with Yield Rates and Quantities of Outputs? A Study on Food and Non-food Grains in India," Review of Market Integration, India Development Foundation, vol. 13(1), pages 42-65, April.
    2. Asharani Samal & Mallesh Ummalla & Phanindra Goyari, 2022. "The impact of macroeconomic factors on food price inflation: an evidence from India," Future Business Journal, Springer, vol. 8(1), pages 1-14, December.
    3. Njegovan Nikola & Simin Mirela Tomaš, 2020. "Inflation and Prices of Agricultural Products," Economic Themes, Sciendo, vol. 58(2), pages 203-217, June.

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