India's wholesale price inflation rises to 11.39% for August
New Delhi, September 14, 2021
India's wholesale price inflation rose to 11.39% in August this year, as compared to 11.16% in the previous month and 0.41% in the same month of last year, due mainly to the higher prices of primary articles and manufactured goods, according to provisional data released here today.
"The high rate of inflation in August 2021 is primarily due to rise in prices of non-food articles, mineral oils; crude petroleum & natural gas; manufactured products like basic metals; food products; textiles; chemicals and chemical products etc as compared the corresponding month of the previous year," an official press release from the Ministry of Commerce & Industry said.
"The month over month change in Wholesale Price Index (WPI) for the month of August, 2021 (as compared to July, 2021) was 1.04 %," it said.
The release said the index for Primary Articles, which have a weight of 22.62%, increased by 1.56% to 155.8 in August 2021 from 153.4 (provisional) for July.
Prices of Minerals (12.22%), Non-food Articles (6.18%) and Crude Petroleum & Natural Gas (1.51%) increased in August, 2021 as compared to July, 2021. Prices of Food Articles (-0.25%) declined in August, 2021 as compared to July, 2021.
The index for Fuel & Power (weight 13.15%) increased by 1.49% to 116.0 (provisional) in August, 2021 from 114.3 (provisional) for the month of July 2021. Prices of Mineral Oils (2.31%) and Coal (0.31%) increased in August, 2021 as compared to July, 2021. Prices of electricity remained unchanged.
In the case of Manufactured Products (weight 64.23%), the index increased by 0.76% to 133.0 (provisional) in August from 132.0 in July. (provisional) for the month of July, 2021. Out of the 22 groups of Manufactured Products, 14 groups witnessed increase in prices; 6 groups witnessed decrease and for two groups the prices remained unchanged in August 2021 as compared to July 2021.
The increase in prices was mainly contributed by manufacture of basic metals; food products; chemicals and chemical products; electrical equipment and manufacture of textiles. Some of the groups that have witnessed decrease in prices are manufacture of other manufacturing; pharmaceuticals, medicinal, chemical and botanical products; leather and related products; other transport equipment and tobacco products.
The WPI Food Index (weight 24.38%), consisting of 'Food Articles' from Primary Articles group and 'Food Products' from Manufactured Products group increased from 159.3 in July to 159.6 in August. The rate of inflation based on WPI Food Index decreased from 4.46% in July 2021 to 3.43% in August.
The final WPI and inflation rate for All Commodities for June 2021 (Base Year: 2011-12=100) stood at133.7 and 12.07%, respectively, the release added.