New Delhi, Jan 15 IBNS | 6 months ago

India's headline inflation based on the Wholesale Price Index (WPI) came down to its five month low in December 2013 at 6.16% (provisional, over December, 2012) as compared to 7.52% (provisional) for the previous month and 7.31% during the corresponding month of the previous year, according to government data on Wednesday.


The official Wholesale Price Index for 'All Commodities' (Base: 2004-05 = 100) for the month of December, 2013 declined by 1.3 percent to 179.2 (provisional) from 181.5 (provisional) for the previous month.

INFLATION

The annual rate of inflation, based on monthly WPI, stood at 6.16% (provisional) for the month of December, 2013 (over December, 2012) as compared to 7.52% (provisional) for the previous month and 7.31% during the corresponding month of the previous year. Build up inflation rate in the financial year so far was 5.35% compared to a build up rate of 4.84% in the corresponding period of the previous year.


PRIMARY ARTICLES (Weight 20.12%)

The index for this major group declined by 5.0 percent to 243.6 (provisional) from 256.3 (provisional) for the previous month. The groups and items which showed variations during the month are as follows:-

The index for 'Food Articles' group declined by 6.4 percent to 240.1 (provisional) from 256.4 (provisional) for the previous month due to lower price of fruits & vegetables (21%), fish-inland (8%), coffee (7%), tea and ragi (3% each) and gram, rice and mutton (1% each). However, the price of poultry chicken (6%), egg (5%), moong (4%),
condiments & spices (3%), jowar, barley, masur and wheat (2% each) and fish-marine, milk, arhar, maize, pork, bajra, beef & buffalo meat and urad (1% each) moved up.

The index for 'Non-Food Articles' group declined by 0.4 percent to 215.8 (provisional) from 216.7 (provisional) for the previous month due to lower price of guar seed (13%), groundnut seed (6%), raw cotton (5%), cotton seed and soyabean (2% each) and fodder (1%). However, the price of flowers (22%), castor seed (13%), raw jute and gingelly seed (sesamum) (7% each), safflower (kardi seed) (3%), tobacco (2%) and copra (coconut), sunflower, mesta and niger seed (1% each) moved up.

The index for 'Minerals' group declined by 3.1 percent to 354.2 (provisional) from 365.7 (provisional) for the previous month due to lower price of barytes (8%), iron ore and crude petroleum (4% each) and phosphorite (2%). However, the price of copper ore and steatite (4% each), manganese ore (3%), chromite (2%) and zinc concentrate (1%) moved up.


FUEL & POWER (Weight 14.91%)

The index for this major group rose by 0.8 percent to 211.3 (provisional) from 209.6 (provisional) for the previous month due to higher price of electricity (industry) (3%), LPG (2%), high speed diesel, electricity (commercial), electricity (railway traction), aviation turbine fuel, bitumen and electricity (domestic) (1% each). However, the price of furnace oil (1%) declined.


MANUFACTURED PRODUCTS (Weight 64.97%)

The index for this major group remained unchanged at its previous month's level of 151.9 (provisional). The groups and items for which the index showed variations during the month are as follows:-

The index for 'Food Products' group declined by 0.6 percent to 169.7 (provisional) from 170.8 (provisional) for the previous month due to lower price of gur (7%), tea leaf (unblended), gram powder (besan), tea leaf (blended) and copra oil (5% each), sunflower oil (4%), oil cakes and groundnut oil (3% each), soyabean oil (2%) and khandsari
(1 %). However, the price of coffee powder (4%), processed prawn (3%), mixed spices, powder milk, mustard & rapeseed oil and tea dust (unblended) (2% each) and bakery products, ghee, rice bran oil and palm oil (1% each) moved up.

The index for 'Beverages, Tobacco & Tobacco Products' group rose by 1.6 percent to 185.9 (provisional) from 182.9 (provisional) for the previous month due to higher price of cigarette (5%), dried tobacco (3%) and imfl - blended (2%).

The index for 'Textiles' group declined by 0.1 percent to 140.2 (provisional) from 140.4 (provisional) for the previous month due to lower price of man made fibre and cotton yarn (1% each). However, the price of gunny and hessian cloth (3%) and jute yarn and cotton fabric (1% each) moved up.

The index for 'Wood & Wood Products' group declined by 1.7 percent to 175.8 (provisional) from 178.9 (provisional) for the previous month due to lower price of processed wood (8%).

The index for 'Paper & Paper Products' group rose by 1.0 percent to 144.3 (provisional) from 142.9 (provisional) for the previous month due to higher price of books/ periodicals/ journals (3%), newspaper and corrugated sheet boxes (2% each) and cream laid woven paper, paper for printing / poster, maplitho paper and kraft paper & bags (1% each). However, the price of paper cartons/boxes (2%) declined.

The index for 'Leather & Leather Products' group declined by 1.1 percent to 144.0 (provisional) from 145.6 (provisional) for the previous month due to lower price of leather footwear (3%). However, the price of leathers (1%) moved up.

The index for 'Rubber & Plastic Products' group rose by 0.7 percent to 147.8 (provisional) from 146.7 (provisional) for the previous month due to higher price of rubber products (2%) and tyres (1%).

The index for 'Chemicals & Chemical Products' group rose by 0.3 percent to 149.2 (provisional) from 148.7 (provisional) for the previous month due to higher price of synthetic resin (7%), turpentine oil (5%) and safety matches/ match box, organic manure, distemper, non-cyclic compound, hair / body oils, pigment & pigment intermediates
and dye & dye intermediates (1% each). However, the price of ammonium sulphate (3%), explosives (2%) and washing soap, pesticides and rubber chemicals (1% each) declined.

The index for 'Non-Metallic Mineral Products' group rose by 0.5 percent to 165.6 (provisional) from 164.7 (provisional) for the previous month due to higher price of marbles (6%) and slag cement (1%).

The index for 'Basic Metals, Alloys & Metal Products' group declined by 0.2 percent to 163.6 (provisional) from 164.0 (provisional) for the previous month due to lower price of sheets (14%), silver (6%), gold & gold ornaments (2%) and aluminium, ferro silicon, steel rods and plates (1% each). However, the price of furniture (19%), melting scrap (3%), sponge iron, crc and ferro manganese (2% each) and pencil ingots, steel structures, gp/gc sheets, wire rods, ferro chrome, lead, rounds and angles (1% each) moved up.

The index for 'Machinery & Machine Tools' group declined by 0.1 percent to 132.1 (provisional) from 132.2 (provisional) for the previous month due to lower price of electric switches (9%), thresher (6%), electrical wires (3%), batteries, control equipments and material handling equipments (2% each) and ups / stabilizer, fans and pvc insulated cable (1% each). However, the price of sprinkler (11%), communication equipments, t.v.sets and electrical pumps (2% each) and battery dry cells, electric generators, insulators and machine tools (1% each) moved up.

The index for 'Transport, Equipment & Parts' group rose by 0.1 percent to 135.6 (provisional) from 135.5 (provisional) for the previous month due to higher price of auto parts (1%).


FINAL INDEX FOR THE MONTH OF OCTOBER, 2013 (BASE YEAR: 2004-05=100)


For the month of October, 2013, the final Wholesale Price Index for 'All Commodities' (Base: 2004-05=100) stood at 180.7 as compared to 180.3 (provisional) and annual rate of inflation based on final index stood at 7.24 percent as compared to 7.00 percent respectively as reported on 14.11.2013.

(Posted on 15-01-2014)