Inflation is becoming a concern for many big corporates now. The soaring prices of industrial commodities has led to rising concern amongst industrialists as well as the monetary regulator of the country, RBI.

The monetary policy announcement by the RBI which came up on 20th April 2010 said, "the firming up of global commodity prices poses upside risks to inflation".

The perpspective held by the apex bank says that the pricing power is being regained by companies in many sectors and with this the demand pressure is going to increase.

"While inflation was previously driven by supply-side factors, demand has also started coming into play. The only supply-side pressure is from agriculture and current forecasts say the monsoon will be normal. Since demand-side pressures are strengthening, monetary policy would have to be active and vigilant in order to keep inflation in check," said Crisil Chief Economist D K Joshi.

The rise in the cost of raw material for steel making "is having a cascading effect on the input cost of products such as two wheelers," said Ravi Sood, Chief Financial Officer, Hero Honda Motors.

"This (increase in input cost) is putting pressure on our bottom line and we expect it to harden in the coming months as any price rise of our product will depend on market competitiveness," said Sood.

"Commodity pressures are under pressure because of the crisis in Greece and the spillover effect that it has had. I would be pretty bearish on commodities because Greece is just the tip of the iceberg and more problems are likely to emerge... That said, there might be some support for commodity prices given the high level of liquidity and there will be buyers at certain levels. There will be increased appetite for gold," said HDFC Bank's Chief Economist Abheek Barua.