New Delhi : Inflation based on wholesale prices declined to a 34-month low of minus 0.92 per cent in April. This relief came from the reduction in the prices of food, fuel and manufactured goods. Inflation based on Wholesale Price Index (WPI) has been declining for 11 consecutive months and went below zero in April. Earlier in June 2020, WPI inflation was below zero at 1.81 percent. WPI inflation was 1.34 per cent in March and 15.38 per cent in April last year. Inflation in food articles also came down to 3.54 per cent in April from 5.48 per cent in March.
The Ministry of Commerce and Industry on Monday said that the decline in the rate of inflation in April, 2023 is mainly due to basic metals, food products, mineral oils, textiles, non-food articles, chemical and chemical products, rubber and plastic products and paper and paper. Due to reduction in the prices of the products. Inflation in the fuel and power segment declined from 8.96 per cent in March to 0.93 per cent in April. Inflation in manufactured products was minus 2.42 per cent in April, compared to 0.77 per cent in March. The decline in WPI is in line with the decline in retail inflation in the month of April. During this period, retail inflation was at an 18-month low of 4.70 per cent.
Retail inflation at 18-month low
Earlier, according to the data presented by the government on Friday, retail inflation came down to an 18-month low of 4.7 percent in April due to cheaper food products like vegetables, oil. The data said that this is the second consecutive month when inflation based on the Consumer Price Index (CPI) is in the comfortable range (two to six per cent) of the Reserve Bank of India. RBI has got the responsibility of keeping inflation at 4 per cent with a variation of 2 per cent. According to the data, CPI-based retail inflation was 5.66 per cent in March this year and 7.79 per cent in April a year ago. The retail inflation rate in the month of April is at the lowest level after October 2021. At that time it was 4.48 percent.
India’s wholesale inflation softens for second straight month in January, retail inflation rises
reduction in food inflation
According to the National Statistical Office (NSO), the inflation rate in food articles stood at 3.84 per cent in April, compared to 4.79 per cent in March. A year ago it was 8.31 percent in the month of April. Food articles account for almost half of the consumer price index. Retail inflation rose from 5.7 per cent in December 2022 to 6.4 per cent in February this year due to increase in prices of cereals, milk and fruits etc.
