The Hindu Business Line : Inflation rate eases marginally to 11.89%

The index for ‘Food Articles’ grouprose by 0.6 per cent due to higher inflation in items such as coffee (8 per cent), fruits and vegetables, urad and mutton (2 per cent each)).

Our Bureau

New Delhi, July 24 The annual wholesale price index-based inflation rose 11.89 per cent during the week ended July 12, marginally lower than the previous week’s annual rise of 11.91 per cent, Government data showed on Thursday.

The year-on-year inflation rate was 4.76 per cent during the corresponding week of the previous year.

Coffee costly

The official WPI for ‘all commodities’ rose to 239 points, up from 238.7 points for the previous week.

On a disaggregated basis, the Primary Articles group index rose 0.6 per cent as the index for ‘Food Articles’ grouprose by 0.6 per cent due to higher inflation in items such as coffee (8 per cent), fruits and vegetables, urad and mutton (2 per cent each) and arhar, moong and jowar (1 per cent each).

Maize eases

However, the inflationary trend in case of fish-marine (3 per cent), tea (2 per cent) and condiments and spices and maize (1 per cent each) declined.

The index for ‘Non-Food Articles’ group rose by 0.8 per cent for the previous week due to higher inflation in case of sunflower and raw rubber (3 per cent each), rape and mustard seed, castor seed and gingelly seed (2 per cent each) and raw cotton (1 per cent).

The Fuel, Power, Light and Lubricants group index remained unchanged at its previous week’s level of 376.3 points.

The heavyweight Manufactured Products group index rose by 0.05 per cent as the index for ‘Food Products’ group rose by 0.1 per cent due to higher inflation on items such as coffee powder (6 per cent) and khandsari, gingelly oil and oilcakes (1 per cent each). However, rice bran oil (2 per cent) and imported edible oil, cotton seed oil and groundnut oil (1 per cent each) showed a decline.

Tyre cord fabric up

The index for ‘Textiles’ group declined by 0.1 per cent due to lower inflationary trend seen in case of texturised yarn and hessian and sacking bags (2 per cent each) and hessian cloth (1 per cent). However, the inflation in case of tyre cord fabric (1 per cent) moved up.

The index for ‘Base Metals, Alloys and Metal Products’ group rose marginally due to higher inflation in lead ingots (6 per cent) and zinc ingots (3 per cent). The index for ‘Machinery and Machine Tools’ group rose by 0.2 per cent due to higher prices of other electrical equipment and systems (2 per cent) and enamelled copper wires (1 per cent).

The final WPI was revised upwards to 230.8 points, as compared to 229.6 points, and annual rate of inflation based on final index, calculated on point to point basis, stood at 8.66 per cent compared to 8.10 per cent.

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