The Hindu Business Line : Cheaper metals check inflation

THE annual wholesale price indexrose 4.14 per cent during the week ended November 5, lower than the previous week's annual rise of 4.75 per cent. The fall was largely due to last year's high base and a fall in metal prices, data released by the Ministry of Commerce and Industry said here on Friday.

The Wholesale Price Index (WPI) ended at 198.5 points during the latest reported week, from levels of 190.6 points a year ago. Inflation was at 7.93 per cent during the corresponding week of the previous year.

On a disaggregated basis, the Primary Articles' group index was up 0.2 per cent to 199.7 points as prices rose for both food and non-food items. The index was 192.4 points during the corresponding period last year. A one per cent increase in bitumen prices pushed up the Fuel, Power, Light and Lubricants group index marginally to 312.5 points. The index was at 291.7 points a year ago. The Manufactured Products' group index was up 0.1 per cent to 172.7 points due to costlier food products, chemicals and machinery. It was 167.4 points in the year ago period.

Among the Manufactured Products' group, the Food Products' group rose 0.1 per cent to 178.4 points due to higher prices of gur (two per cent) and skimmed milk powder, groundnut oil, gingelly oil, ghee and imported edible oil (one per cent), even as rice bran oil became cheaper by one per cent. A huge 105 per cent increase in epoxy resins prices pushed up the index for Chemicals and Chemical Products' group by 0.5 per cent to 190.4 points while liquid chlorine turned cheaper by two per cent.

The index for Base Metals Alloys and Metal Products' group was down 0.1 per cent as prices fell for ferro silicon (eight per cent), steel wire ropes (three per cent) and aluminium ingots (one per cent). However, aluminium rolled products turned costlier by two per cent. Machinery and Machine Tools' group was up by 0.1 per cent due to higher prices of enamelled copper wires (three per cent) and rolled bearings (two per cent).

The Government revised upward inflation figure to 4.11 per cent for the week ended September 10, from the provisional 3.53 per cent, while WPI stood corrected at 197.5 points as against the earlier estimate of 196.4 points.

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