Food inflation is termed as a persistent rise in prices of food items that negatively affects the purchasing power of people. The Consumer Price Index (CPI) and Producer Price Index (PPI) both play an important role in determining the rate of inflation. Food inflation has a multi-dimensional effect on everyone.

In developing countries, such as Pakistan, food inflation creates a big issue as the purchasing power of people is affected by it. Food price inflation has emerged as the main economic challenge for Pakistan. It harms growth and reduces the purchasing power of people. Pakistan, being a developing country, is facing a challenge with rising food prices. The food inflation crisis is pushing many into poverties.

Moreover, no relief is being provided to the people by the government. Finally, this problem needs to be addressed as it decreases the welfare of poor people.   

                                                                        

By: Kiyya Khalid Ali                                               

Turbat Kech