Softer food prices help, but pulses and vegetables push WPI higher on a month-on-month basis
Wholesale inflation eased by 0.32 per cent in November, aided by softer prices of food items, edible oils and electricity. Even so, the reading was 0.71 per cent higher on a month-on-month basis, reversing part of the sharp 1.21 per cent decline recorded in October.
The sequential uptick was driven by higher prices of pulses and vegetables, government data showed. On a year-on-year basis, WPI inflation stood at 2.16 per cent in November, compared with the same month last year.
Primary Articles Rise
Primary articles, which carry a weight of 22.62 per cent in the index, registered a sharp increase during the month. The index rose 2.07 per cent to 192.1 in November from 188.2 in October. Within this segment, mineral prices climbed 4.50 per cent, food articles rose 2.50 per cent and non-food articles increased 1.28 per cent.
In contrast, prices of crude petroleum and natural gas declined 1.62 per cent in November compared with the previous month.
Fuel And Power Inch-up
The fuel and power category recorded a modest increase, with the index edging up 1.03 per cent. Electricity prices surged 6.70 per cent during the month, while mineral oil prices fell 0.67 per cent. Coal prices remained unchanged from October.
Manufactured Products See Mild Dip
Prices of manufactured products, which account for the largest share of the WPI basket at 64.23 per cent, eased marginally in November. The index slipped 0.07 per cent to 145.0 from 145.1 in October.
Of the 22 two-digit NIC groups under manufactured products, 14 saw a decline in prices, seven reported an increase, and one remained flat. Price declines were recorded in fabricated metal products (excluding machinery and equipment), food products, non-metallic mineral products, computer, electronic and optical products, and chemicals. Meanwhile, higher prices were seen in other manufacturing, machinery and equipment, textiles, electrical equipment and wearing apparel.
Food Inflation
Wholesale food inflation showed some improvement, though it remained in negative territory. The WPI food index, which has a weight of 24.38 per cent, increased to 195.0 in November from 192.0 in October. On a year-on-year basis, food inflation stood at (-) 2.60 per cent in November, compared with (-) 5.04 per cent in the previous month.
The next Wholesale Price Index data, for December 2025, is scheduled to be released on January 14 next year.
