The Hindu Business Line : Inflation up on costlier food, energy products

Up & down
Steepest rise in the rates for fire clay (53%).
Prices rose for iron ore (12%) & fodder (8%).
Relief through cheaper steatite (10%) & vermiculite (5%).

New Delhi , June 30

The wholesale price index-based annual inflation rate rose 5.44 per cent during the week ended June 17, higher than the previous week's annual rise of 5.24 per cent.

The rise in the year-on-year inflation growth rate was mainly on account of an increase in the prices of primary articles and fuel products, according to the data released by the Ministry of Commerce and Industry on Friday.

Primary articles dearer

During the latest reported week, the wholesale price index (WPI) ended the latest reported week at 203.4 points. The index was at 203 points during the corresponding year-ago period. The inflation rate was 4.10 per cent during the corresponding week of the previous year.

On a disaggregated basis, the index for the Primary Articles group rose 1.2 per cent to 205.2 from 202.7 points for the previous week. The Fuel, Power, Light and Lubricants group index rose 0.1 per cent to 326.4 from 326 points for the previous week. The Manufactured Products group index declined by 0.1 per cent to 175.4 from 175.6 points for the previous week.

Within the primary articles' group, the index for `Food Articles' group rose by 0.8 per cent to 208.7 from 207 points for the previous week due to higher prices of urad (4 per cent), fish-marine and eggs (3 per cent each), fruits and vegetables (2 per cent) and barley, gram, ragi and milk (1 per cent each). However, the prices of bajra (2 per cent) and condiments & spices (1 per cent) declined.

Naphtha prices high

The index for Minerals group rose by 9.6 per cent to 392.2 from 357.7 points for the previous week due to higher prices of fire clay (53 per cent), iron ore (12 per cent) and magnesite (2 per cent). However, the prices of steatite (10 per cent), vermiculite (5 per cent) and kaolin (china clay) (2 per cent) declined.

The Fuel, Power, Light and Lubricants group index rose on account of higher prices of naphtha (3 per cent) and bitumen (1 per cent). However, the prices of furnace oil (1 per cent) declined. Within the Manufactured Products index group the index for Food Products'group rose by 0.1 per cent to 179.1 from 178.9 points for the previous week due to higher prices of ghee, oil cakes, khandsari, coconut oil and rice bran oil (1 per cent each).

The index for Chemicals & Chemical Products group rose by 0.1 per cent to 193.2 from 193.1 points for the previous week due to higher prices of caustic soda (sodium hydroxide) (1 per cent).

Metals decline

The index for Base Metals Alloys & Metal Products group declined 0.1 per cent to 222.2 from 222.5 points for the previous week due to lower prices of zinc (6 per cent), other iron steel and zinc ingots (5 per cent each) and ms bars & rounds (1 per cent). The inflation rate has been revised to 3.85 per cent for the week ended April 22 against the provisional estimate of 3.54 per cent. The WPI has been revised to 199.4 points against the provisional 198.8 points.