The Ministry of Commerce & Industry, on December 14, released the data on India’s Wholesale inflation. The annual rate of inflation based on the wholesale price index (WPI) fell to a 21-month low of 5.85 percent in November from 8.39 percent in October. The WPI in November 2021 stood at 14.87 percent.
The annual rate of inflation based on WPI has declined from 8.39 % in October 2022 to 5.85 % in November 2022.
The annual inflation rate of the Primary Articles group of WPI has declined from 11.04 % in October 2022 to 5.52 % in November 2022.#WPI@CimGOI @PiyushGoyal— DPIIT India (@DPIITGoI) December 14, 2022
It is the second straight month that WPI remained below the double-digit mark.
WPI inflation dipped to a revised figure of 10.70 percent in September from 12.41 percent in August. The WPI for July stood at a revised figure of 14.07 percent from 13.93 percent earlier.
Notably, the WPI inflation rate stayed above the double-digit mark for 1.5 years, from April 2021 to September 2022.
“Decline in the rate of inflation in November 2022 is primarily contributed by fall in prices of food articles, basic metals, textiles, chemicals & chemical products and paper & paper products as compared to the corresponding month of the previous year,” the commerce ministry release said.
Segment-wise Change:
The food articles segment inflation relaxed to 1.07 percent in November, as per the data. In October, it stood at 8.33 percent. The month-on-month dip is due to a fall in the prices of vegetables, onions, and fruits.
- The cost of vegetables contracted (-)20.08 percent in November, a significant drop from a rise of 17.61 percent in October.
- Onion prices dipped (-)19.19 percent last month, whereas, in October, they stood at (-)30.02 per.
- Prices of fruits shrank (-)1.07 percent in November from 0.23 percent in October.
Besides, the price of paddy dipped to 6.45 percent in November, down from 6.63 percent in October. Potato prices decreased to 13.75 percent from 44.97 percent in October, the data showed. Eggs, meat & fish softened to 2.27 percent last month from 3.97 percent a month ago.
What saw an uptick in prices were cereals, wheat, and milk.
- Cereals increased to 12.85 percent last month from 12.03 percent in October.
- Wheat prices jumped to 18.11 percent from 16.25 percent, and milk prices increased to 6.03 percent from 5.53 percent for the same period.
WPI inflation of Fuel & Power eased to 17.35 % in November as against 23.17 % in October 2022. The inflation rate in the manufactured products group came down from 4.42 % in October to 3.59 % in November 2022.
India’s headline retail inflation rate also saw a downward change for November. It slumped to an 11-month low of 5.88 percent in November from 6.77 percent in the previous month, data released on December 12 by the ministry of statistics and program implementation showed.