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WPI inflation eases to 15.18% in June as against 15.88% in May

WPI inflation eases to 15.18% in June as against 15.88% in May

The Ministry of Commerce and Industry added that the high rate of inflation in June is “primarily due to rise in prices of mineral oils, food articles, crude petroleum & natural gas, basic metals, chemicals & chemical products, food products etc. as compared to the corresponding month of the previous year”.

The annual rate of inflation based on all-India Wholesale Price Index (WPI) has been recorded at 15.18 per cent for the month of June as opposed to 15.88 per cent in the month of May. In June 2021, the rate of inflation was 12.07 per cent. 

The Ministry of Commerce and Industry added that the high rate of inflation in June is “primarily due to rise in prices of mineral oils, food articles, crude petroleum & natural gas, basic metals, chemicals & chemical products, food products etc. as compared to the corresponding month of the previous year”. 

“There is no month over month change in WPI index for the month of June, 2022 compared to May, 2022,” it added. 

The WPI food index that consists of food articles from the Primary Articles group and food products from the Manufactured Products group have increased from 176.1 in May to 178.4 in June. The rate of inflation based on WPI Food Index increased from 10.89 per cent in May to 12.41 per cent in June. 

The index for Primary Articles increased by 1.45 per cent to 182.4 in June from 179.8 in May. Prices of Primary Articles such as crude petroleum & natural gas (6.59 per cent), and food articles (2.40 per cent) increased in June. Prices of non-food articles (-2.06 per cent) and minerals (-9.04 per cent) declined in June. Food articles include items such as cereals, paddy, wheat, pulses, vegetables, potato, onion, fruits, milk, and eggs, meat and fish. 

The index for fuel and power increased by 0.65 per cent to 155.4 in June from 154.4 in May. Prices of mineral oils (0.98 per cent) increased in June, as compared to May. 

The manufactured products index declined by -0.76 per cent to 143.7 in June, as compared to 144.8. “Out of the 22 NIC two-digit groups for Manufactured products, 14 groups have witnessed increase in prices while 8 groups have witnessed decrease in prices,” the ministry said. Increase in prices is mainly driven by chemical and chemical products, other non-metallic mineral products, electrical equipment, motor vehicles, textiles etc. Basic metals, food products, other manufacturing and furniture saw a decrease in prices in June. 

The Office of the Economic Adviser, Department for Promotion of Industry and Internal Trade release the provisional figures of Wholesale Price Index (WPI) on the 14th of every month or the next working day.  

Also read: WPI inflation for May at 15.88% as against 15.08% in April