Wholesale Price Index declines to 4.95% in August

The annual rate of inflation, based on the Wholesale Price Index (WPI), stood at -4.95% in August as compared to -4.05% in the previous month

Source: PIB, Government of India

The official Wholesale Price Index for ‘All Commodities’ (Base: 2004-05=100) for the month of August, 2015 declined by 0.5% to 176.7 (provisional) from 177.5 (provisional) for the previous month. INFLATION The annual rate of inflation, based on monthly WPI, stood at -4.95% (provisional) for the month of August, 2015 (over August, 2014) as compared to -4.05% (provisional) for the previous month and 3.85% during the corresponding month of the previous year. Build up inflation rate in the financial year so far was 0.34% compared to a build up rate of 3.11% in the corresponding period of the previous year. The movement of the index for the various commodity groups is summarized below:- PRIMARY ARTICLES (Weight 20.12%) The index for this major group rose by 1.7% to 251.5 (provisional) from 247.2 (provisional) for the previous month.  The groups and items which showed variations during the month are as follows:- The index for ‘Food Articles’ group rose by 2.6% to 262.3 (provisional) from 255.7 (provisional) for the previous month due to higher price of fruits & vegetables (10%), arhar (6%), gram and urad (3% each), bajra, pork and maize (2% each) and masur, ragi, wheat, barley and condiments & spices (1% each).  However, the price of poultry chicken (6%), beef & buffalo meat (3%) and moong, tea and jowar (1% each) declined. The index for ‘Non-Food Articles’ group rose by 0.8% to 217.4 (provisional) from 215.6 (provisional) for the previous month due to higher price of flowers (29%), copra (coconut) (8%), fodder and niger seed (7% each), safflower (kardi seed) and cotton seed (3% each), castor seed and groundnut seed (2% each) and mesta, sunflower and rape & mustard seed (1% each).  However, the price of raw silk (12%), gaur seed (11%), raw rubber (8%), soyabean (6%), gingelly seed (sesamum) (3%) and linseed and raw cotton (2% each) declined. The index for ‘Minerals’ group declined by 4.4% to 244.6 (provisional) from 255.9 (provisional) for the previous month due to lower price of phosphorite (9%), crude petroleum (7%), sillimanite and copper ore (5% each) and iron ore (2%).  However, the price of zinc concentrate (8%) and chromite (2%) moved up. FUEL & POWER (Weight 14.91%) The index for this major group declined by 4.5% to 178.7 (provisional) from 187.1 (provisional) for the previous month due to lower price of  furnace oil (12%), aviation turbine fuel (11%), high speed diesel (9%), petrol (3%) and bitumen (1%).  MANUFACTURED PRODUCTS (Weight 64.97%) The index for this major group declined by 0.4% to 153.1 (provisional) from 153.7 (provisional) for the previous month. The groups and items for which the index showed variations during the month are as follows:- The index for ‘Food Products’ group declined by 0.2% to 171.7 (provisional) from 172.0 (provisional) for the previous month due to lower price of salt (5%), tea dust (unblended) and oil cakes (3% each), soyabean oil, gingelly oil and sugar (2% each) and canned fish, palm oil and sunflower oil (1% each).  However, the price of gram powder (besan) (11%), tea leaf (blended) (7%), processed prawn (6%), mixed spices and sooji (rawa) (2% each) and gola (cattle feed) (1%) moved up. The index for ‘Beverages, Tobacco & Tobacco Products’ group rose by 0.1% to 206.4 (provisional) from 206.1 (provisional) for the previous month due to higher price of dried tobacco and soft drinks & carbonated water (1% each). The index for ‘Textiles’ group declined by 0.4% to 140.6 (provisional) from 141.2 (provisional) for the previous month due to lower price of woollen textiles (6%) and tyre cord fabric, cotton yarn, man-made fibre and cotton fabric (1% each). However, the price of jute sacking cloth and jute sacking bag (4% each), gunny and hessian cloth (2%) and man-made fabric (1%) moved up. The index for ‘Wood & Wood Products’ group rose by 0.3% to 198.5 (provisional) from 197.9 (provisional) for the previous month due to higher price of  timber / wooden planks (2%). The index for ‘Paper & Paper Products’ group rose by 0.7% to 154.7 (provisional) from 153.6 (provisional) for the previous month due to higher price of books/ periodicals/ journals (5%), paper cartons/boxes (2%) and corrugated sheet boxes (1%).  However, the price of laminated paper, printing and writing paper and card board (1% each) declined. The index for ‘Leather & Leather Products’ group rose by 0.4% to 144.9 (provisional) from 144.3 (provisional) for the previous month due to higher price of leathers (3%). The index for ‘Rubber & Plastic Products’ group declined by 0.5% to 148.7 (provisional) from 149.4 (provisional) for the previous month due to lower price of  plastic products and rubber products (1% each). The index for ‘Chemicals & Chemical Products’ group declined by 0.1% to 151.3 (provisional) from 151.4 (provisional) for the previous month due to lower price of rubber chemicals (3%), adhesive & gum (2%) and agarbattis, polymers, basic organic chemicals and vaccines (1% each). However, the price of ammonium sulphate, hair / body oils and synthetic resin (2% each) and pigment & pigment intermediates, antacid and digestive preparations, turpentine oil, paints and non-cyclic compound (1% each) moved up. The index for ‘Non-Metallic Mineral Products’ group rose by 0.8% to 175.6 (provisional) from 174.2 (provisional) for the previous month due to higher price of grey cement (2%) and white cement (1%).  However, the price of asbestos corrugated sheet (3%), glass bottles & bottleware (2%) and marbles and railway sleeper (1% each) declined. The index for ‘Basic Metals, Alloys & Metal Products’ group declined by 1.9% to 154.1 (provisional) from 157.1 (provisional) for the previous month due to lower price of melting scrap (6%), billets, sheets and wire rods (5% each), silver, sponge iron, angles and pencil ingots (4% each), rounds, pig iron, HRC and CRC (3% each), plates, steel rods, joist & beams, gold & gold ornaments, rebars, gp/gc sheets and iron castings (2% each) and steel: pipes & tubes, steel castings, metal containers, zinc and aluminium (1% each). However, the price of steel structures (4%) and ferro manganese (1%) moved up. The index for ‘Machinery & Machine Tools’ group declined by 0.2% to 134.9 (provisional) from 135.2 (provisional) for the previous month due to lower price of fibre optic cable (4%), electric motors (3%), ball/roller bearing (2%) and      electronic pcb /micro circuit, hydraulic equipment, conductor, electrical wires and pvc insulated cable (1% each). However, the price of battery dry cells (3%), heat exchanger and harvester (2% each) and insulators (1%) moved up. The index for ‘Transport, Equipment & Parts’ group declined by 0.1% to 137.7 (provisional) from 137.8 (provisional) for the previous month due to lower price of bi-cycles (2%). FINAL INDEX FOR THE MONTH OF JUNE, 2015 (BASE YEAR: 2004-05=100) For the month of June, 2015, the final Wholesale Price Index for ‘All Commodities’ (Base: 2004-05=100) stood at 179.1 as compared to 178.6 (provisional) and annual rate of inflation based on final index stood at -2.13% as compared to -2.40% (provisional) respectively as reported on 14.07.2015.  

September 14, 2015 | 2:55pm IST.

The Dollar Business Bureau - Sep 14, 2015 12:00 IST
 
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