Financial Services News

Wholesale prices remain in negative in October

Representational image of a wholesale market in in Assam’s Goalpara district
| Photo Credit: PTI

India’s wholesale prices remained in deflationary mode for the seventh month in a row in October, with the Wholesale Price Index (WPI) reflecting an inflation of -0.52% from -0.26% in September.

The wholesale food index was up 1.07% in October compared to last year, with food prices up sequentially from September levels by 1% as well.

While vegetable prices dropped 21%, inflation in paddy and cereals accelerated to 7.5% and 9.4% respectively. Pulses and onion inflation jumped to 19.4% and 62.6%, respectively.

The WPI-based inflation rate has been in the negative zone since April. In October last year, WPI was at 8.67%.

“The negative rate of inflation in October, 2023, is primarily due to fall in prices of chemicals and chemical products, electricity, textiles, basic metals, food products, paper and paper products, etc. as compared to the corresponding month of previous year,” the commerce and industry ministry said.

The fuel and power basket inflation was at (-) 2.47% in October, against (-) 3.35% in September. In manufactured products, the inflation rate was at (-) 1.13%, as against (-) 1.34% in September.

The annual retail or consumer price inflation for October hit a 5-month low of 4.87%, data released on Monday showed.

(With inputs from PTI)

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