India's wholesale price inflation down at 2.03% in January
19 February 2021
Inflation rate in the country, based on the wholesale price index (WPI) stood at 2.03 per cent (provisional) in January 2021 against 3.52 per cent during the corresponding month of the previous year.
The fall in inflation rate was due mainly to a fall in the prices of primary article, especially food articles.
Inflation rate for the primary articles group, which has a weight of 22.62 per cent in the Wholesale price index, declined by 1.77 per cent in January as compared to levels in December 2020. Within the primary articles group, prices of non-food articles declined by 0.43 per cent while prices of food articles declined by 2.99 per cent in January 2021 compared to December 2020.
Inflation rate for the fuel and power group (weight of 13.15per cent in WPI) increased by 5.84 per cent (provisional) in January 2021 compared to levels in December 2020. Prices of electricity (11.49 per cent) and mineral oils (5.55 per cent) increased in January 2021 as compared to December 2020 while prices of coal remained unchanged.
Inflation rate for the manufactured products group (weight of 64.23 per cent in WPI) increased by 1.54 per cent (provisional) in January 2021 compared to levels in December 2020. Out of the 22 groups of manufactured products, 18 groups witnessed increase in prices, whereas 4 groups witnessed decrease in prices.
Inflation rate for the food articles group (weight of 24.38 per cent in WPI) consisting of 'food Articles' in the primary articles group and the manufactured products group decreased in January 2021 from levels in December 2020. Inflation rate based on WPI food index decreased from 0.92 per cent in December 2020 to (-) 0.26 per cent in January, 2021.
Final inflation rate for November 2020, based on the revised wholesale price inflation rate for 'All Commodities' (Base: 2011-12=100), stood at 2.29 per cent.