WPI inflation eases for second straight month to 11.16 pc in July on cheaper food items - FOOD, Crude oil, manufacturing and outlook - DETAILS HERE
WPI inflation scaled double digit in April at 10.74 per cent, rising to a record high of 13.11 per cent in May. In June it eased to 12.07 per cent and further moderated to 11.16 per cent in July
The wholesale price-based inflation softened for the second straight month to 11.16 per cent in July, on cheaper food items, even though prices of manufactured goods and crude oil hardened. Source: PTI
WPI Inflation – BASE Effect
However, WPI inflation remained in double digit for the fourth consecutive month in July, mainly due to a low base of last year. WPI inflation was (-) 0.25 per cent, in July 2020.
"The high rate of inflation in July 2021 is primarily due to low base effect and rise in prices of crude petroleum and natural gas; mineral oils; manufactured products like basic metals; food products; textiles; chemicals and chemical products etc as compared the corresponding month of the previous year," the Commerce and Industry Ministry said in a statement. Source: PTI
WPI Inflation - FOOD
WPI Inflation – CRUDE OIL
WPI Inflation - Manufacturing
WPI Inflation – PREVIOUS TRENDS
WPI Inflation – OUTLOOK
ICRA Chief Economist Aditi Nayar said the core-inflation is likely to have peaked at 10.8 per cent in July 2021.
"The headline WPI inflation is expected to remain in double-digits until October 2021, and therefore its softening over the last two months is unlikely to provide any material comfort to the monetary policy committee," Nayar added. Source: PTI