New Delhi: India's wholesale price inflation sharply decelerated to 0.33% in September, against 1.08% a month ago, as prices of manufactured items entered the deflationary territory, signalling a lack of pricing power of producers in the current economic downturn.
Inflation for manufactured items stood at -0.42% in September, against 0% a month ago.
WPI inflation rate declined in September despite onion prices rising 122.4% over the prices a year ago. The government has banned exports of onions and put stock limits on traders to bring down rising prices.
However, overall food inflation decelerated to 7.47% in September as inflation rate for fruits dropped sharply to 6.67%. Fuel prices continued to contract compared to their levels a year ago, putting further downward pressure on wholesale price inflation.