WPI inflation quickens in July to 1.88% from 0.90% in June

After showing signs of easing since last four months, India’s inflation has surprisingly quickened in the month of July, due to rise in prices of Food Articles and Non-Food Articles. According to the data released by the Ministry of Commerce & Industry, the wholesale price index (WPI) inflation advanced to 1.88% in the month of July versus 0.90% in the month of June and 0.63% during the corresponding month of the previous year. Build up inflation rate in the financial year so far was 0.62% compared to a build up rate of 3.81% in the corresponding period of the previous year.

Component wise, primary articles index, having weight of 22.62%, witnessed an increment of 4.3% to 132.4 (provisional) from 126.9 (provisional) for the previous month. Among the primary articles, the index for ‘Food Articles’ group increased by 6.2% to 147.6 (provisional) from 139.0 (provisional) for the previous month, the index for ‘Non-Food Articles’ group surged by 0.6 percent to 118.5 (provisional) from 117.8 (provisional) for the previous month and the index for ‘Minerals’ group rose by 2.8 percent to 119.6 (provisional) from 116.3 (provisional) for the previous month, while the index for ‘Crude Petroleum & Natural Gas’ group declined by 7.8 percent to 64.0 (provisional) from 69.4 (provisional) for the previous month.

Fuel & Power index with weight of 13.15% declined by 1.4% to 88.4 (provisional) from 89.7 (provisional) for the previous month with fall in the index for ‘Mineral Oils’ group.

Manufactured Products constituting the major portion of the index with weight of 64.23% rose by 0.2 percent to 112.7 (provisional) from 112.5 (provisional) for the previous month. The index for ‘Manufacture of Food Products’ group rose by 0.2 percent to 126.9 (provisional) from 126.7 (provisional) for the previous month, the index for ‘Manufacture of Wearing Apparel’ group increased by 2.1 percent to 136.0 (provisional) from 133.2 (provisional) for the previous month, the index for ‘Manufacture of Wood and of Products of Wood and Cork’ group rose by 0.9 percent to 131.7 (provisional) from 130.5 (provisional) for the previous month, the index for ‘Manufacture of Paper and Paper Products’ group rose by 1.6 percent to 117.5 (provisional) from 115.7 (provisional) for the previous month, the index for ‘Printing and Reproduction of Recorded Media’ group rose by 0.8 percent to 143.6 (provisional) from 142.4 (provisional) for the previous month and the index for ‘Manufacture of Other Non-Metallic Mineral Products’ group rose by 0.4 percent to 112.8 (provisional) from 112.3 (provisional) for the previous month.

The index for ‘Manufacture of Basic Metals’ group rose by 0.3 percent to 97.0 (provisional) from 96.7 (provisional) for the previous month, the index for ‘Manufacture of Computer, Electronic and Optical Products’ group rose by 0.7 percent to 109.3 (provisional) from 108.5 (provisional) for the previous month, the index for ‘Manufacture of Electrical Equipment’ group rose by 0.1 percent to 108.4 (provisional) from 108.3 (provisional) for the previous month, the index for ‘Manufacture of Machinery and Equipment’ group rose by 0.3 percent to 108.1 (provisional) from 107.8 (provisional) for the previous month, the index for ‘Manufacture of Other Transport Equipment’ group rose by 1.2 percent to 111.0 (provisional) from 109.7 (provisional) for the previous month, the index for ‘Manufacture of Furniture’ group rose by 1.4 percent to 117.8 (provisional) from 116.2 (provisional) for the previous month and the index for ‘Other Manufacturing’ group rose by 5.1 percent to 115.9 (provisional) from 110.3 (provisional) for the previous month.

On the other hand, the index for ‘Manufacture of Tobacco Products’ group declined by 0.5 percent to 143.6 (provisional) from 144.3 (provisional) for the previous month, the index for ‘Manufacture of Textiles’ group declined by 0.3 percent to 113.4 (provisional) from 113.7 (provisional) for the previous month, the index for ‘Manufacture of Leather and Related Products’ group declined by 0.3 percent to 119.5 (provisional) from 119.9 (provisional) for the previous month and the index for ‘Manufacture of Chemicals and Chemical Products’ group declined by 0.3 percent to 111.3 (provisional) from 111.6 (provisional) for the previous month.

The index for ‘Manufacture of Pharmaceuticals, Medicinal Chemical and Botanical Products’ group declined by 0.2 percent to 120.0 (provisional) from 120.2 (provisional) for the previous month, the index for ‘Manufacture of Rubber and Plastics Products’ group declined by 0.6 percent to 107.9 (provisional) from 108.5 (provisional) for the previous month, the index for ‘Manufacture of Fabricated Metal Products, Except Machinery and Equipment’ group declined by 0.2 percent to 107.8 (provisional) from 108.0 (provisional) for the previous month and the index for ‘Manufacture of Motor Vehicles, Trailers and Semi-Trailers’ group declined by 0.4 percent to 111.1 (provisional) from 111.6 (provisional) for the previous month.