Centre Closely Monitoring Global Commodity Prices
On Tuesday, the Union Government informed that it is closely monitoring the movement of global commodity prices and its impact on the Indian economy in the aftermath of global supply disruptions due to the Russia-Ukraine conflict. Pankaj Chaudhary, Minister of State for Finance, said that the government is committed to supporting initiatives for releases from Strategic Petroleum Reserves to reduce market volatility and control the rise in crude oil prices. When asked whether the government has made any review of the economy consequent upon the breakout of war between Russia and Ukraine, Mr. Chaudhary replied that because of the conflict between Russia and Ukraine, Global supply chains have been disrupted. This has eventually resulted in a steep increase in global commodity prices, including crude oil, gas, edible oils, fertilizers, etc. He said: "Government of India is closely monitoring the global price movements and their impact on India's economy through trade." He also told that the GDP of India in 2021-22 is expected to increase at a rate of 8.9 percent. This will take India’s GDP past the most recent pre-pandemic output of 2019-20 to complete the recovery process.