New Delhi, March 8: More than economic or political concerns, rising inflation is a larger social issue that could be tackled in the long run through increased supply of farm products -- which is precisely the focus of Budget 2007-08, Finance Minister P Chidambaram said on Thursday.

"While fiscal steps will have some immediate impact, monetary side will take some time to transmit into the system. Supply side is indeed a durable answer to inflation. More wheat, more rice, more sugar, more pulses, more oil seeds is durable side," he said at a post-budget interaction with industry chamber Assocham.

Inflation must be and will be moderated, he said in response to an observation from the floor that consumer price-based inflation (for agriculture labour) is much higher at around 12 per cent than 6.05 per cent wholesale prices-based inflation.

Like augmenting supply of inputs is durable answer to industry's growth, raising supply of these is durable answer to agriculture, he said, defending the Budget's focus on the farm sector. "The laws of economics cannot be different for agriculture," he said.

Betting on high growth next fiscal as well, he said supply of inputs to industry would indeed be more with rising growth.

Providing rationale of shift in focus of the Budget 2007-08 from his "dream" Budget of 1997-98, he said the task before him in his earlier stint as the Finance Minister was to pull India out from her cocoon.

Now India and her corporates are very much on the global map, he said. "You are not only talked about, but feared if you don't take over their company," the Finance Minister said in a light vein.