Australian consumers expect inflation to cool an industry survey published today suggests.

The median expected inflation rate in July edged down to 3.3 per cent, from 3.4 per cent in June, less than two weeks before Australia's crucial second-quarter consumer price index report is scheduled for release, according to the Melbourne Institute Survey of Consumer Inflationary Expectations.

Additionally, the share of consumers predicting inflation to be within the Reserve Bank of Australia's targeted 2 to 3 per cent band climbed to 19.1 per cent in July, from 17.5 per cent last month.

While soaring commodity prices have driven most of the concern over still strong Australian inflation, Michael Chua of the Melbourne Institute revealed another sector as especially crucial.

"This rise may be a reaction to anticipated upward movement in the prices of vegetables due to possible supply shortages. The movement of vegetables prices will be of great interest in the next few months," said Mr Chua.

Preceding central bank's early August meeting, an official July 28 reading on Australian inflation will possibly hold the keys to the RBA's next ruling on the cash rate, from current 4.5 per cent.

After increasing rates in six of seven meetings in late 2009 and early 2010, the RBA has put the rate on hold in each of its last two meetings.