India has decided to impose an export duty of Rs 8,000 PMT on steel products and basmati rice shipment in a bid to tame the spiraling inflation in the country.

According to Indian Finance Minister P. Chidambaram, he government has also decided to impose a tax of INR8, 000 PMT on exports of basmati, or aromatic, rice apart from lowering the minimum export price to $1,000 PMT, from the earlier $1,200 PMT.

India's wholesale price index was up 7.33% on year for the week ended April 12, the eighth successive week that inflation has been well above the central bank's upper comfort level of around 5%.