According to a report put out by Nepal Rastra Bank (NRB) Monday, the prices of foods and beverages soared 17.1 percent during the period, whereas they had increased 9.4 percent in the corresponding period last year.
Consumers mainly faced a sharp rise in the prices of sugar and related products. Contrary to a drop last year, these prices rose by 53 percent, due to supply constraints and a price cartel operated by importers. Prices of fish, meat and eggs also rose, by 25.2 percent. Pulses and vegetables and fruits rose by 24.6 percent and 21.8 percent respectively.
Price of cereals, the staple food of Nepalis, also increased by 13 percent during the first eight months of 2008/09.
The NRB report says the cost of non-food items and services grew at a moderate rate of 8.8 percent during the period. Under non-food items, tobacco and related products rose by 16.3 percent. Services like transportation also became more expensive, by 13.5 percent, during the period.
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