Allaying fears fuelled by a rise in inflation to a new 13-year high of 11.89 per cent, the finance ministry said on Friday prices of essential commodities have almost stabilised.

Prices of essential commodities, which include foodgrain, pulses, edible oils, vegetables, dairy products and some other commodities like kerosene, soap, safety matches, have more or less stabilised, the ministry said.

The finance ministry based its assessment on the annual inflation for the group of 30 commodities, which stood at 5.98 per cent during the week ended June 28, against 5.89 per cent in the previous week.

"In the primary articles group, out of the total 98 articles, 12 have shown a decline in prices as compared to previous week data. These include wheat, rice, maize, garlic, cabbage, cumin, black pepper, ginger and niger seed. Another 55 articles have shown no increase in prices," the statement said.

In the case of manufactured products, out of a total 320 commodities, a large number, 278 in all, have shown no increase in prices over the last week, it said.

In the case of 16 commodities, there is a decline in prices, the ministry said, adding,"these commodities include lead ingots, pencillin, imported edible oil, pig iron, steel products, cotton seed oil, de-oiled cake."

The fuel, power and light group exhibits stability of prices, it further added.

It was basically price rise in petrol, diesel and LPG that had catapulted inflation to double digit number.

• Inflation, the silent killer!