New Delhi, Apr 29: Battling rising prices, Prime Minister Manmohan Singh on Tuesday bluntly told the industry, it had societal obligation to assist government in controlling inflation and warned against seeking short term gains. "Let me be upfront and say that the industry and trade must eschew the temptation of seeking short term gains and should cooperate with the government to ensure long term stability of the growth process," he told captains of industry at the annual meeting of apex association CII.

On its part the government has taken several steps to reverse the recent spurt in prices, Singh said and reminded the industry of its "societal obligation" in controlling inflation. In a veiled warning against cartelisation, Singh said: "Leaders of industry, particularly in sectors characterised by significant market power in the hands of a few producers have a societal obligation to assist the government in moderating inflationary expectations."

Detailing the factors responsible for inflationary pressures, particularly due to surging global oil and food prices, he said industry should absorb to the extent possible rise in input costs. "Industry must also pass on benefits of tax and duty cuts to consumers. "A measure of sobriety in corporate lifestyle and compensation can also help cut costs and maintaining the price level," Singh, whose call to the steel industry last week had resulted in major players announcing to hold the price line for three months, said.