The annual inflation rate based on the Wholesale Price Index (WPI) stood at 1.89 per cent (provisional) for November 2024, compared to 2.36 per cent in October 2024 and 1.91 per cent in September 2024.
According to the Ministry of Commerce and Industry, the easing inflation reflects a moderation in price increases for food items and manufactured products.
The overall WPI index decreased marginally by 0.06 per cent month-over-month, slipping from 156.1 in October to 156.0 in November 2024.
Positive inflation was primarily driven by higher prices in food articles, textiles, and machinery and equipment. Despite the decline, inflation remained elevated in specific categories, indicating a mixed trend across commodity groups.
In terms of sectoral performance, the index for Primary Articles (weight: 22.62 per cent) declined by 1.20 per cent in November 2024. This was largely due to reduced prices of food articles (-1.83 per cent) and crude petroleum & natural gas (-0.41 per cent).
However, there were price increases in minerals (2.10 per cent) and non-food articles (0.56 per cent). For Fuel & Power (weight: 13.15 per cent), the index rose slightly by 0.41 per cent due to higher mineral oil prices, although electricity prices declined marginally (-0.07 per cent).
The category of Manufactured Products (weight: 64.23 per cent) saw an increase of 0.35 per cent in November 2024, supported by price hikes in food products, pharmaceuticals, and electrical equipment.
However, there were price declines in basic metals, rubber, chemicals, and motor vehicles. Notably, out of the 22 subgroups within manufactured products, 10 registered price increases, while 10 saw declines, and two remained unchanged.
The WPI Food Index, which includes food articles and manufactured food products, dropped from 201.2 in October to 200.3 in November 2024.
Food inflation also eased significantly to 8.92 per cent in November, down from 11.59 per cent in October, signalling some relief in food prices.
Meanwhile, Fuel & Power inflation continued to remain in deflationary territory at -5.83 per cent, reflecting persistently lower energy prices year-over-year.
Month-over-month trends showed mixed results across major groups. Primary Articles fell by 1.20 per cent, reflecting declines in food and crude oil prices, while Manufactured Products posted steady growth of 0.35 per cent.
Fuel and Power prices increased slightly by 0.41 per cent, driven by mineral oil price gains.
Revised data for September 2024 indicated a final WPI of 154.7, with an annual inflation rate of 1.91 per cent.
The WPI for November 2024 was compiled at a weighted response rate of 89.2 per cent, and the final figure for September was based on a response rate of 90 per cent.
The provisional figures will undergo revisions as per the WPI revision policy. The Ministry also announced that the WPI for December 2024 would be released on January 14, 2025.
(With input from ANI)
