WPI inflation rises to 3.24% in August

After the sharp rise seen in the Consumer Price Index (CPI) based inflation, the latest data released by the government has shown that the wholesale price index (WPI) inflation rate too has registered significant increase in August month. Surge in prices of foods articles, vegetable and  fuel products mainly pulled the country’s WPI higher to 3.24% in August against 1.09% increase in the same month a year ago and 1.88% recorded in the previous month. Build up inflation rate in the financial year so far was 1.41% compared to a build up rate of 3.25% in the corresponding period of the previous year.

Component wise, primary articles index, having weight of 22.62%, witnessed increase of 1.9% to 134.9 (provisional) from 132.4 (provisional) for the previous month. Among the primary articles, the index for ‘Food Articles’ group surged 2.2% to 150.8 (provisional) from 147.6 (provisional) for the previous month, the index for ‘Non-Food Articles’ group rose by 1.8% to 120.6 (provisional) from 118.5 (provisional) for the previous month and the index for ‘Crude Petroleum & Natural Gas’ group gained by 0.5% to 64.3 (provisional) from 64.0 (provisional) for the previous month. On the other hand, the index for ‘Minerals’ group declined 1.2% to 118.2 (provisional) from 119.6 (provisional) for the previous month.

Fuel & Power index having weight of 13.15% inched up by 0.9% to 89.2 (provisional) from 88.4 (provisional) for the previous month due to higher prices of naphtha, petrol and kerosene.

Manufactured Products constituting the major portion of the index with weight of 64.23% increased by 0.2 percent to 112.9 (provisional) from 112.7 (provisional) for the previous month. The index for Manufacture of Food Products group rose by 0.3% to 127.3 (provisional) from 126.9 (provisional) for the previous month, the index for Manufacture of Beverages group jumped 1.4% to 119.1 (provisional) from 117.4 (provisional) for the previous month, the index for Manufacture of Tobacco Products group surged 2.9% to 147.7 (provisional) from 143.6 (provisional) for the previous month, the index for Manufacture of Wearing Apparel group increased by 0.4% to 136.5 (provisional) from 136 (provisional) for the previous month, the index for Manufacture of Leather and Related Products group rose by 1.2% to 120.9 (provisional) from 119.5 (provisional) for the previous month, the index for Manufacture of Wood and of Products of Wood and Cork group inched up by 0.3% to 132.1 (provisional) from 131.7 (provisional) for the previous month and the index for Manufacture of Paper and Paper Products group rose by 0.9% to 118.5 (provisional) from 117.5 (provisional) for the previous month.

The index for Printing and Reproduction of Recorded Media group rose by 0.5% to 144.3 (provisional) from 143.6 (provisional) for the previous month, the index for Manufacture of Pharmaceuticals, Medicinal Chemical and Botanical Products group rose by 0.8% to 120.9 (provisional) from 120 (provisional) for the previous month, the index for Manufacture of Basic Metals group rose by 0.8% to 97.8 (provisional) from 97.0 (provisional) for the previous month, the index for Manufacture of Electrical Equipment group rose by 0.8% to 109.3 (provisional) from 108.4 (provisional) for the previous month, the index for Manufacture of Machinery and Equipment group rose by 0.3% to 108.4 (provisional) from 108.1 (provisional) for the previous month, the index for Manufacture of Motor Vehicles, Trailers and Semi-Trailers group rose by 0.7% to 111.9 (provisional) from 111.1 (provisional) for the previous month and the index for Manufacture of Furniture group was up by 1.4% to 119.5 (provisional) from 117.8 (provisional) for the previous month.

On the other hand, the index for Manufacture of Textiles group declined by 0.6% to 112.7 (provisional) from 113.4 (provisional) for the previous month, the index for Manufacture of Chemicals and Chemical Products group decreased by 0.1% to 111.2 (provisional) from 111.3 (provisional) for the previous month, the index for Manufacture of Rubber and Plastics Products group declined by 0.6% to 107.2 (provisional) from 107.9 (provisional) for the previous month, the index for Manufacture of Other Non-Metallic Mineral Products group slipped 0.8% to 111.9 (provisional) from 112.8 (provisional) for the previous month, the index for Manufacture of Fabricated Metal Products, Except Machinery & Equipment group declined by 0.3% to 107.5 (provisional) from 107.8 (provisional) for the previous month, the index for Manufacture of Computer, Electronic & Optical Products group dropped by 0.4% to 108.9 (provisional) from 109.3 (provisional) for the previous month and the index for Manufacture of other Transport Equipment group was down by 1.4% to 109.5 (provisional) from 111 (provisional) for the previous month.