Wholesale inflation eases to 10.7% in September from 12.41% in August

Wholesale price index (WPI)-based inflation eased in September to 10.70 per cent year-on-year. In August the WPI-based inflation came at 12.41 per cent, government data showed on Friday. “Inflation in September, 2022 is primarily contributed by rise in prices of mineral oils, food articles, crude petroleum & natural gas, chemicals & chemical products, basic metals, electricity, textiles etc. as compared to the corresponding month of the previous year”, said the government release.

The highest inflation was noted in high-speed diesel (HSD) at 65.96 per cent (YoY). It was followed by a 49.79 per cent rise in potato prices and a 44.72 per cent hike in crude petroleum and natural gas.

On a month-on-month (MoM) basis, fuel and power was the only group that saw a rise inflation.

All the others recorded a fall in prices.

The WPI Food Index also saw a decline in inflation.

“The rate of inflation based on the WPI Food Index decreased from 9.93 per cent in August 2022 to 8.08 per cent in September 2022,” the office of economic advisor noted.

The index for this major group declined by (-1.34 per cent) to 176.2 (provisional) in September, 2022 from 178.6 (provisional) for the month of August, 2022. Prices of food articles (0.28 per cent) increased in September, 2022 as compared to August, 2022. prices of non-food articles (-3.60 per cent), crude petroleum & natural gas (-6.38 per cent) and minerals (-6.45 per cent) declined in September, 2022 as compared to August, 2022.

The food index consisting of ‘Food Articles’ from the primary articles group and ‘Food Product’ from the manufactured products group has decreased from 176.0 in August 2022 to 175.2 in September 2022. The rate of inflation based on the WPI food index decreased from 9.93 per cent in August 2022 to 8.08 per cent in September 2022.