The appeal followed a heated parliament debate on price rises, with the entire opposition blaming the ruling Congress party of failing to rein in inflation since coming to power in 2004.

"I am not happy with inflation and we are willing to take further fiscal steps to contain inflation if the (parliament) members so suggest," Finance Minister Palaniappan Chidambaram said.

Inflation, which a year earlier stood at 3.90 percent, has emerged as a key political battleground in the country of 1.1 billion people, where rising prices put huge strain on domestic budgets.

Chidambaram said his government in recent months had imposed several control measures, including a ban on the export of staples to keep prices of cereals, cooking oil and milk products under control.

"The government will take further steps if required as it is aiming tomoderate inflation," the finance minister said in the lower house.

Inflation has slipped to 5.6 percent compared to more than six percent two weeks ago and efforts would continue to cut it further, he said.

"And the government is aiming to bring down inflation below five percent and later between 4-4.5 percent of the tolerance level of the people as well as the Reserve Bank of India (central bank)," the finance minister added.

The bank hiked short-term lending rates twice this year, by a quarter of a percent each time to 7.75 percent -- the highest level in more than four years -- to stem inflation.