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WPI inflation eases to 11.16% in July on lower rise in fuel, power prices

WPI inflation eases to 11.16% in July on lower rise in fuel, power prices

The high rate of inflation in July as compared to the year-ago month was primarily due to low base effect and rise in prices of crude petroleum and natural gas, mineral oils, manufactured products.

While the wholesale inflation was at 13.11 per cent in May this year, it stood at -0.25 per cent in July 2020. While the wholesale inflation was at 13.11 per cent in May this year, it stood at -0.25 per cent in July 2020.

India's annual rate of wholesale inflation based on wholesale price index (WPI) eased to 11.16 per cent in July from 12.07 per cent in June, helped by lower increase in price of fuel and power.
 
While wholesale inflation was at 13.11 per cent in May this year, it stood at -0.25 per cent in July 2020.
 
The high rate of inflation in July as compared to the year-ago month "is primarily due to low base effect and rise in prices of crude petroleum and natural gas; mineral oils; manufactured products...," the Ministry of Commerce and Industry said in a release.
 
On an annual basis, fuel and power prices rose 26.02 per cent in July, while inflation for manufactured products was at 11.20 per cent.

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However, on a month-on-month basis, inflation for fuel and power declined to 0.53 per cent in July from 3.55 per cent in June, while price of manufactured products rose 0.38 per cent after remaining unchanged in June.
 
Inflation in food articles eased for the third straight month, and was at 'zero' per cent in July, down from 3.09 per cent in June. However, onion prices spiked with inflation at 72.01 per cent.
 
Inflation for crude petroleum and natural gas was at 40.28 per cent in July as against 36.34 per cent in June.
 
As per data released last week, the country's retail inflation eased to a three-month low of 5.59 per cent in July from 6.26 per cent in June, mainly due to softening food prices.

Also Read: Retail inflation eases to three-month low of 5.59% in July

Published on: Aug 16, 2021, 12:42 PM IST
Posted by: Vinay Rai, Aug 16, 2021, 12:40 PM IST