WPI inflation eases to 8.39% in October, lowest since March 2021
1 min read 14 Nov 2022, 12:15 PM ISTThe October WPI inflation was lower than 10.70% recorded in the previous month
PremiumIndia's annual wholesale price index (WPI) inflation for the month of October 2022 eased to 8.39% year-on-year, in single digits and the lowest since March 2021, helped by a fall in commodity prices, the government data showed on Monday.
The WPI inflation for October was lower than 10.70% recorded in the previous month of September 2022. This is the first time in 19 months that WPI inflation print has come in single digit. The last was in March 2021 at 7.89%.
"Decline in the rate of inflation in October 2022 is primarily contributed by fall in the price of mineral oils, basic metals, fabricated metal products, except machinery and equipment; textiles; other non-metallic mineral products; minerals etc," the commerce and industry ministry said on Monday.
Inflation in food articles in October was 8.33%, against 11.03% in the previous month. Inflation in vegetables was at 17.61% during the month, against 39.66% in September. In the 'Fuel and Power' basket, inflation was 23.17%, while in manufactured products it was 4.42% during October.
Indian consumer price index (CPI) inflation or retail inflation will be announced today later in the day. A Reuters poll showed economists expect retail price inflation slowed to 6.73% last month, due to weaker food price rises and a strong base year, but remained stubbornly above the Reserve Bank of India's 6% upper limit.
The inflation rate, as measured by the annual change in the CPI, was at 7.41% in September. The Reserve Bank of India (RBI) mainly looks at retail inflation to frame monetary policy. The RBI has raised its main repo rate by a cumulative 190 basis points since May to 5.90% to tame inflation.
