New Delhi: WPI inflation rises to 7.39 per cent in March against 4.17 per cent in February, Govt said on Thursday.
The Office of the Economic Adviser, Department for Promotion of Industry and Internal Trade is releasing index numbers of wholesale price in India for the month of March, 2021 (Provisional) and for the month of January, 2021 (Final) in this press release. Provisional figures of Wholesale Price Index (WPI) are released on 14th of every month (or next working day) with a time lag of two weeks of the reference month and compiled with data received from institutional sources and selected manufacturing units across the country. After 10 weeks, the index is finalized and final figures are released and then frozen thereafter.
INFLATION
Theannual rate of inflation stood at 7.39% (provisional) for the month of March, 2021 over March, 2020.However, month-on-month (March 2021 over February 2021) rate of inflation stood at 1.57 % (Annexure-I). The prices of crude oil, petroleum products and basic metal substantially increased in March 2021 as compared to the corresponding month of last year. Also, due to nationwide lockdown, the WPI index for the month of March 2020 (120.4) was computed with relatively low response rate.
PRIMARY ARTICLES (Weight 22.62%)
The index for this major group increased by (0.55%) to 146.2 (provisional) in March, 2021 from 145.4 (provisional) for the month of February, 2021. Prices of Crude Petroleum & Natural Gas (8.64%), Non-food Articles (1.90%) and
Minerals (0.35%) increased in March, 2021 as compared to February, 2021. Prices of Food Articles (-0.45%) declined in March, 2021 as compared to February, 2021.
FUEL & POWER (Weight 13.15%)
The index for this major group increased by (5.28%) to 109.7 (provisional) in March, 2021 from 104.2 (provisional) for the month of February, 2021. Prices of Mineral Oils (9.76%) increased in March, 2021 as compared to February, 2021. Prices of Coal (-0.08%) declined in March, 2021 as compared to February, 2021. Prices of electricity remain unchanged.
MANUFACTURED PRODUCTS (Weight 64.23%)
The index for this major group increased by (1.27%) to 127.3 (provisional) in March, 2021 from 125.7 (provisional) for the month of February, 2021. Out of the 22 NIC two-digit groups for Manufactured products, 16 groups that have witnessed increase in prices are manufacture of furniture; motor vehicles, trailers and semi-trailers; machinery and equipment; electrical equipment; computer, electronic and optical products; fabricated metal products, except machinery and equipment; basic metals; other non-metallic mineral products; rubber and plastics products; pharmaceuticals, medicinal chemical and botanical products; chemicals and chemical products; paper and paper products; wood and of products of wood and cork; wearing apparel; textiles; food products in March, 2021 as compared to February, 2021. Whereas 5 groups that have witnessed decrease in prices are manufacture of other manufacturing; other transport equipment; printing and reproduction of recorded media; leather and related products; tobacco products in March, 2021 as compared to February, 2021. While the Manufacture of beverages remain unchanged in March, 2021 as compared to February, 2021.
WPI FOOD INDEX (Weight 24.38%)
The Food Index consisting of ‘Food Articles’ from Primary Articles group and ‘Food Product’ from Manufactured Products group have increased from 153.0 in February, 2021 to 153.4 in March, 2021. The rate of inflation based on WPI Food Index increased from 3.31% in February, 2021 to 5.28% in March, 2021.
FINAL INDEX FOR THE MONTH OF JANUARY, 2021 (BASE YEAR:2011-12=100)
For the month of January, 2021, the final Wholesale Price Index and inflation rate for ‘All Commodities’ (Base: 2011-12=100) stood at 126.5 and 2.51% respectively.
