WPI inflation for November rises 0.26% on-year; uptick in food, minerals, machinery prices

Wholesale Price Index (WPI) inflation rose 0.26 per cent in November from a year ago driven by the increase in prices of food articles, minerals, machinery and equipment, computer, electronics and optical products, motor vehicles, and other equipment and other manufacturing.

WPI inflation was at -0.52 per cent in October and at -0.26 per cent in September. WPI inflation rate was in the negative zone since April. WPI inflation has returned to positive territory after 7 months.

“The month-over-month change in WPI index for the month of November, 2023 stood at 0.53 per cent as compared to October, 2023,” said the Ministry of Commerce and Industry.

The food index-based WPI increased from 1.07 per cent in October to 4.6 per cent in November. The food index, consisting of food articles from the Primary Articles group and 'Food Product' from Manufactured Products group, increased to 183.1 in November from 179.6 in October. The food index includes products such as cereals, paddy, wheat, pulses, vegetables, potato, onion, fruits, milk, eggs, meat and fish.

The primary articles index, a major group, increased by 1.30 per cent to 186.9 in November from 184.5 in October. Prices of food articles increased in November by 2.62 per cent over October, while prices of non-food articles (-0.24 per cent), minerals (-0.41 per cent) and crude petroleum and natural gas (-4.79 per cent) declined in November.

The fuel and power index increased by 0.78 per cent to 155.3 in November from 154.1 in October, while prices of electricity increased 9.93 per cent and mineral oils declined -1.99 per cent.

The manufactured products index increased 0.07 per cent to 140.4 in November from 140.3 in October. Eight of the groups witnessed an increase in prices, while 10 groups saw a decrease in prices. Manufacture of food products, motor vehicles, trailers & semi-trailers,  fabricated metal products saw an increase in prices, while basic metals, electrical equipment, textiles, other non-metallic mineral products saw a decrease in prices.

Also read: WPI inflation expected to move to positive territory in coming months