New Delhi, Aug ,7 : Commenting over that price stability is an important objective, Finance Minister P Chidambaram has assured the market that the government of India will take all possible steps to remove the hurdle to ease the supply constrain and enhance the import of items in case of shortfall.

''Price stability is an important objective. In fact, it is more important for the poor. There has been pressure on prices, and inflation - especially food inflation - is high.

The causes are well known: some are beyond our control, such as prices of crude oil and imported commodities, but some others can be addressed by determined action. We will also use our stocks of foodgrain to moderate prices. Where necessary, we will enhance the import of items in short supply,'' Finance Minister told a news conference here yesterday. 

The Finance Minister also claimed that non-food inflation is already declining . ''We are confident that inflation can be moderated in the medium term. Fiscal policy and monetary policy must point to the same direction and must move in tandem. Government will work with the Reserve Bank of India to ensure that inflation is moderated in the medium term,'' he said.

FM  has also spelt out the roadmap to revive the momentum economy after taking charge of his dream ministry, by saying the path to financial consoldation will be unveiled shortly, price will be moderated in coming time and corrective measures taken in bringing clarity in tax laws. 

Addressing his first news conferenc Mr Chidambaram said uppermost in his mind is the ''duty to regain the confidence of all stakeholders.'' Assuring that inflation can be moderated in the medium term, he said that the Government will work with the Reserve Bank of India in this regard.The Finance Minister also said the poor must be protected and others must bear their fair share of the burden. 

''We have asked Dr Vijay Kelkar, Dr Indira Rajaraman and Dr Sanjiv Misra to assist the government in formulating the path of fiscal consolidation and we expect that the work will be completed in a few weeks,'' he said. He further said wherever required, corrective measures will be taken in bringing clarity in tax laws, to have a stable taxregime, a non-adversarial tax administration and a fair mechanism for dispute resolution.

 FM said the government will soon announce a raft of measures to give a fillip to the mutual fund industry and the insurance sector.He said the government will also work towards removing supply side bottlenecks in the manufacturing and export sectors.Speaking over high interest rates, FM said the government will take careful caliberated steps to improve the investment and ease the burden on consumers. 

Voicing confidence that India will return to a path of high  growth, FM vowed to finetune economic policies to meet investor and other stakeholders' expectations.''Our policies have to be modified or fine tuned in order to meet the expectations of different stakeholders,'' Mr Chidambaram said. ''I am confident that we will prevail and we will return to the path to high growth,'' he said.