Peru cuts taxes on food, fuel to curb inflation

LIMA, March 7 (Reuters) - Peru cut tariffs on food imports and reduced taxes on fuel on Friday, the latest in a series of measures to curb inflation during a period of rapid economic growth and high prices for global commodities.

Inflation rose 0.91 percent in February, the highest monthly rate since President Alan Garcia took office in July 2006. Some economists have said inflation needs to be contained because an economy growing at 9 percent could be overheating.

In a decree in the government gazette, the finance ministry reduced tariffs or slashed them to zero for a long list of food products, including meats, fish, milk derivatives and vegetables.

The measure was similar to a decree in October that cut tariffs on 70 percent of imports to zero.

It also reduced a sales tax on diesel, gasoline, and kerosene.

The central bank's inflation target is 2 percent, plus or minus a one percentage point tolerance band.

Last year, inflation, as measured by the price index for metropolitan Lima, Peru's capital, rose nearly 4 percent. (Reporting by Maria Luisa Palomino; Writing by Terry Wade; Editing by Kenneth Barry)