New Delhi: UPA allies Mamata Banerjee's Trinamool Congress and Karunanidhi's DMK vociferously opposed the proposed fuel price hike, forcing the government to put the decision on hold for the time being.

A report submitted by an expert group, headed by Mr Kirit Parikh, had recommended a hike in petrol, diesel, LPG and kerosene prices. The group sought a hike of Rs 100 in LPG and Rs 6 in kerosene, besides a Rs 3-4 hike in petrol and diesel prices. It also recommended the deregulation of petrol and diesel.

Due to the opposition from its allies and fearing backlash from the public, the Centre put the Parikh Committee recommendations on hold. However, it said that these hikes are imminent in near future.

Union Railway Minister Mamata Banerjee said that a fuel price hike will drive up the cost of food and other essentials, which are already on an all-time high. The food inflation in India has touched 17.56 per cent.