Media365
India’s wholesale inflation rose to 9.87 per cent in June from 9.68 per cent in May, as a fresh spike in food prices and sustained manufacturing cost pressures outweighed a moderation in fuel inflation, government data released on Tuesday showed.
The Wholesale Price Index (WPI)-based inflation remained close to double digits for the second consecutive month, with food articles, petroleum products, basic metals and chemicals emerging as the biggest contributors to the increase. The All India WPI for all commodities stood at 110.2 in June, up from 109.9 in May.
The Commerce and Industry Ministry said wholesale food inflation accelerated sharply during the month. The WPI Food Index rose to 6.14 per cent in June from 4.49 per cent in May, reflecting higher prices of food articles and manufactured food products.
Among the three major groups, inflation in primary articles climbed to 7.0 per cent from 4.99 per cent in May, while inflation in manufactured products remained unchanged at 7.48 per cent, indicating that factory gate prices continued to remain elevated.
Fuel and power inflation eased to 27.41 per cent in June from 30.33 per cent in the previous month, although it continued to remain high amid elevated petroleum product prices. Mineral oils recorded an annual inflation rate of 46.48 per cent, while crude petroleum and natural gas prices were up 34.75 per cent from a year earlier.
Within manufacturing, price pressures remained broad-based. Inflation in basic metals stood at 12.31 per cent, chemicals and chemical products at 12.78 per cent, electrical equipment at 11.03 per cent, and textiles at 10.85 per cent, suggesting that producers continued to face elevated input costs.
