There are reasons.Now it has ceased to be an Indian phenomenon.The commodity prices are rising in all parts of the globe.In India high inflation coupled with production failures have largely contributed to this rising trend.
The usual reason id demand will be growing more rapidly than supply and if anyone who uses a product regularly it simply favor increasing its price without a reason...
Too some extent failure on the part of the government to take firm measures against hoarders and unscrupulous businessmen has also contributed to this phenomenon!
I think because of us also it is raising.We are encouraging by buying it when it raised also.So the government has taken a chance on our week points they are raising.
I remeber an atrociously funny comment made by the former US President George Bush when said the food prices are rising because people belonging to thedeveloping world are eating more!!!
It is due to increasing food price index.Also increase in fuel price is always linked with increase in the prices of all other items except the vehicles.
If the price of the petrol increases, there will be lesser demand of new cars which inturn presurrise the auto makers to reduce the price.
There are many reasons for price rise in India and factors like over-population, unemployment, corruption, loose law and order all plays an important role in price hike. Natural calamities like earth quakes, floods etc also adds to the rise in price to a certain extent...
There are many reasons for the rise in prices, if the price of petrol rises then the price of other things rises connected with petrol, like wise many things are associated with one another.
The prices rise as the richer sections have more money to pay. The price mechanism favors the rich. The commodities are limited and the rich have money power to buy whatever they want at higher prices.
The government needs to introduce rationing and distribution of essential commodities through fair price shops and curb hoarding and black marketing.