WPI inflation eases further to 3.15% in November

Wholesale Price Index (WPI) inflation continued its easing trend for the third straight month in November, falling to 3.15 per cent on subdued demand due to demonetisation that led to softening of prices of vegetables and other kitchen staples.The WPI inflation for September was revised upwards at 3.8 per cent against the provisional estimate of 3.57 per cent.

As per official data, the annual rate of inflation, based on monthly WPI, stood at 3.15 percent (provisional) for the month of November, 2016 (over November, 2015) as compared to 3.39 percent (provisional) for the previous month and -2.04 percent during the corresponding month of the previous year.  Build up inflation rate in the financial year so far was 4.45% compared to a build up rate of 0.80% in the corresponding period of the previous year.

Primary Articles index having weight of 20.12 percent in the whole inflation index, declined by 0.9 percent to 259.4 (provisional) from 261.8 (provisional) for the previous month. In the primary articles, the index for 'Food Articles' group declined by 1.0 percent to 276.1 (provisional) from 278.8 (provisional) for the previous month, the index for 'Non-Food Articles'  group declined by 0.8 percent to  221.4 (provisional) from 223.2 (provisional) for the previous month and the index for 'Minerals' group declined by 1.7 percent to  207.4 (provisional) from 210.9 (provisional) for the previous month.

Fuel & Power having weight of 14.91 percent in the WPI inflation index rose by 1.8 percent to 190.7 (provisional) from 187.3 (provisional) for the previous month.

Manufactured Products having the maximum weight of 64.97 percent in the index rose by 0.3 percent to 157.9 (provisional) from 157.4 (provisional) for the previous month. In the manufactured products, the index for 'Food Products' group rose by 0.5 percent to 194.0 (provisional) from 193.0 (provisional) for the previous month, the index for 'Textiles' group rose by 0.1 percent to 141.8 (provisional) from 141.7 (provisional) for the previous month, the index for 'Paper & Paper Products' group rose by 0.3 percent to 156.4 (provisional) from 155.9 (provisional) for the previous month, the index for 'Rubber & Plastic Products' group declined by 0.1 percent to 148.4 (provisional) from 148.5 (provisional) for the previous month, index for 'Chemicals & Chemical Products' group rose by 0.1 percent to 150.8 (provisional) from 150.7 (provisional) for the previous month, the index for 'Basic Metals, Alloys & Metal Products' group rose by 0.7 percent to 156.3 (provisional) from 155.2 (provisional) for the previous month and the index for 'Machinery & Machine Tools' group rose by 0.1 percent to 135.4 (provisional) from 135.2 (provisional) for the previous month.

On the other hand, the index for 'Beverages, Tobacco & Tobacco Products' group declined by 0.1 percent to 221.6 (provisional) from 221.7 (provisional) for the previous month, index for 'Wood & Wood Products' group declined by 1.6 percent to 197.6 (provisional) from 200.8 (provisional) for the previous month, index for 'Rubber & Plastic Products' group declined by 0.1 percent to 148.4 (provisional) from 148.5 (provisional) for the previous month and index for 'Non-Metallic Mineral Products' group declined by 0.2 percent to 179.9 (provisional) from 180.2 (provisional) for the previous month in the Manufactured Products.