Inflation may spread to other sectors: PM Panel

Spiraling food inflation in India could spread into other sectors, posing a risk to the projected growth rate of 8.2 per cent in 2010/11, the Prime Minister's Economic Advisory Council warned on Friday. Releasing the economic outlook for FY10, the council's chairman C Rangarajan called for more government vigilance against rising inflation. Rangarajan added India's fiscal imbalance is also a matter of concern and the process of consolidation must begin in the next financial year itself.