Truckers’ strike nudges up inflation; WPI at 5.6 per cent

As the Reserve Bank of India (RBI) prepares to review its monetary policy next Tuesday, the weekly wholesale price index (WPI) figures released by the union government today show that inflation has risen for the first time in almost two months, going up by 0.4 per cent.

The annual rate of inflation, calculated on point to point basis, stood at 5.60 per cent (provisional) for the week ended 10 January, compared to 5.24 per cent (provisional) for the previous week which ended on 3 January and 4.36 per cent during the corresponding week of the previous year.

Analysts say the rise was fuelled mainly by the recent truckers' strike, which pushed up prices. Inflation is still well within the central bank's projection of seven per cent.

Detailed figures:

Index numbers of WPI (base: 1993-94=100)

(Review for the week ended 10 January 2009)
 
The official wholesale price index for 'all commodities' (Base: 1993-94 = 100) for the week ended 10 January 2009 rose by 0.4  per centto 230.0 (provisional) from 229.0  (provisional) for the previous week.
 
The movement of the index for the various commodity groups is summarized below:-
 
1. Primary articles (weight 22.02 per cent)
 
The index for this major group rose by 1.2  per centto 249.3 (provisional) from 246.3  (provisional) for the previous week. The groups and items for which the index showed variations during the week are as follows:-
 
The index for 'food articles' group rose by 2.2  per cent to 244.6 (provisional) from 239.4  (provisional) for the previous week due to higher prices of fruits and vegetables (9 per cent), wheat   (2 per cent) and barley, condiments & spices, milk, ragi and rice (1 per cent each).  However, the prices of fish-marine (2 per cent) and moong, tea, urad, gram and jowar (1 per cent each) declined.
 
The index for 'non-food articles' group declined by 0.9  per cent to 233.0 (provisional) from 235.1  (provisional) for the previous week due to lower prices of soyabean (12 per cent), castor seed (10 per cent), niger seed (7 per cent), raw silk (3 per cent) and copra (1 per cent).  However, the prices of gingelly seed (9 per cent) moved up.
 
The annual rate of inflation, calculated on point-to-point basis, for 'primary articles' stood at 11.64  per cent (provisional) for the week ended 10 January 2009 as compared to 10.85  per cent (provisional) in the previous week.  It was 4.49  per cent as on 12 January 2008 ie a year ago.
 
The annual rate of inflation for 'food articles' stood at 11.64  per cent (provisional) for the week ended 10 January 2009 as compared to 9.92  per cent (provisional) in the previous week.  It was 1.95  per cent as on 12 January 2008 ie a year ago.
 
2. Fuel, Power, Light & Lubricants (weight 14.23 per cent)
 
The index for this major group remained unchanged at its previous week's level of 329.8 (provisional)
 
3. Manufactured products (weight 63.75 per cent)
 
The index for this major group rose by 0.2  per centto 201.1 (provisional) from 200.6  (provisional) for the previous week. The groups and items for which the index showed variations during the week are as follows:

The index for 'food products' group rose by 1.6  per cent to 205.1 (provisional) from 201.9 (provisional) for the previous week due to higher prices of canned fish (43 per cent), oil cakes (8 per cent), imported edible oil and coconut oil (7 per cent each), rice bran oil (5 per cent) and gingelly oil, gur and khandsari (1 per cent each).  However, the prices of unrefined oil (8 per cent) and groundnut oil (1 per cent) declined.
 
The index for 'beverages tobacco and tobacco products' group rose by 0.1  per centto 296.8 (provisional) from 296.6 (provisional) for the previous week due to marginal increase in prices of the wine industries.
 
The index for 'paper and paper products' group declined by 0.05  per cent to 204.9 (provisional) from 205.0 (provisional) for the previous week due to lower prices of map litho paper (1 per cent).
 
The index for 'rubber and plastic products' group declined by 0.4  per cent to 167.3 (provisional) from 168.0 (provisional) for the previous week due to lower prices of pvc pipes and tubings (4 per cent).  However, the prices of decorative laminates (5 per cent) moved up.
 
The index for 'chemicals and chemical products' group declined by 0.1  per cent to 214.3 (provisional) from 214.6 (provisional) for the previous week due to lower prices of phenol (30 per cent), roll films (10 per cent), complex fertilizer and acid (all kinds) (6 per cent each), adhesives, cine colour positive, tape for blank cassettes and complex fertilisers-npk content (4 per cent each) and medical x-ray films (2 per cent).  However, the prices of epoxy resins (19 per cent), soda ash (sodium carbonate) (6 per cent) and caustic soda (sodium hydroxide) (2 per cent) moved up.
 
The index for 'non-metallic mineral products' group rose by 0.05  per centto 215.7 (provisional) from 215.6 (provisional) for the previous week due to higher prices of ceramic tiles (2 per cent).
 
The index for 'basic metals alloys and metal products ' group rose marginally to 276.7 (provisional) from 276.6 (provisional) for the previous week due to higher prices of lpg cylinder (10 per cent), lead ingots (6 per cent) and zinc ingots (3 per cent).
 
The index for 'Machinery & Machine Tools' group declined by 0.1  per cen tto 176.2 (provisional) from 176.3 (provisional) for the previous week due to lower prices of roller bearings (4 per cent) and complete tractors and excavator (1 per cent each).  However, the prices of sewing machines (8 per cent) moved up.
 
The index for 'Transport Equipment & Parts' group rose by 0.2  per cent to 176.8 (provisional) from 176.5 (provisional) for the previous week due to higher prices of broad gauge passenger carriage (5 per cent) and broad gauge other coaching vehicles (2 per cent).
 
4. Final index for the week ended 15 November 2008
 
For the week ended 15 November 2008, the final wholesale price index for 'all commodities' (base:1993-94=100) stood at  234.7  as compared to  235.1  (provisional) and annual rate of inflation based on final index, calculated on point to point basis, stood at 8.66 per cent as compared to 8.84 per cent (provisional).