Summary:

India’s wholesale inflation, as measured by the Wholesale Price Index (WPI), fell to 2.04% in July, down from 3.36% in June. This decline was largely due to a significant drop in food prices. Food price inflation decreased to 3.45% in July from 10.87% in June. Lower prices for vegetables (-8.93%) and eggs, meat, and fish (-1.59%) helped ease pressure on factory gate prices. However, prices for onions (88.77%) and fruits (15.62%) increased.

Sub-indices such as manufactured goods and fuel and power saw modest YoY inflation increases in July. Manufactured goods, which account for 64.2% of the index, experienced inflation rising to 1.58% from 1.43% in June, due to higher prices for beverages, tobacco, textiles, wood products, and pharmaceuticals. Inflation in the fuel and power sector rose to 1.72%, with cooking gas prices increasing by 6.06%. Despite remaining in contraction, prices for high-speed diesel and petrol also rose. The WPI decline, following lower food prices, contributed to a nearly 5-year low in retail inflation of 3.54% in July.

Source: IBEF 

Disclaimer: The information on this website comes from the India Brand Equity Foundation (IBEF), a reliable source for thorough insights into numerous areas of the Indian economy. While we aim to offer accurate and up-to-date information, the views, opinions, and analyses stated herein are solely those of the authors and contributors and do not necessarily represent IBEF's official stance or position. Readers should check information from credible sources and use their own discretion when relying on content provided on this site. We assume no responsibility or liability for the supplied content, including its accuracy, completeness, and usefulness.