New Delhi: Inflation dropped to 7.38 per cent for the week ended September 25, mainly due to fall in prices of vegetables and essential commodities. The point-to-point inflation based on the wholesale price index (WPI) fell from the previous week''s level of 7.80 per cent. The inflation rate in the year-ago period was 5.39 per cent.

The WPI declined by 0.1 per cent to 189.1 points in the week under review. It was 176.1 points in the year-ago period.

The government revised upwards inflation to 8.02 per cent for the week ended July 31 as compared to the provisional level of 7.61 per cent. The WPI stood corrected at 187.3 points during the last week of July as against the provisional level of 186.6 points.

The index of primary articles'' group was down substantially by 0.6 per cent to 191.5 points due to cheaper food and non-food articles. It stood at 182.8 points in the previous year period.

Food articles'' group index fell by 0.4 per cent to 188.1 points due to lower prices of fish-marine (4 per cent), fruits and vegetables, moong, condiments and spices, maize, bajra and mutton (1 per cent).

However, prices rose for poultry chicken (5 per cent), tea and masur (2 per cent each), and ragi and barley (1 per cent each).

The index for non-food articles'' group was down by 1.1 per cent to 193.6 points due to a fall in prices of raw cotton (5 per cent), niger seed and sunflower (4 per cent each), groundnut seed, safflower and cotton seed (1 per cent each). But prices increased for gingelly seed (3 per cent), copra, castor seed and soyabean (2 per cent each).

Despite rising oil prices in international markets, the fuel, power, light and lubricants group index stood firm at 281.6 points. It was 254.6 points in the year-ago period.

Crude prices have touched a record high of $53 a barrel on concerns of supplies from Nigeria and increased winter demand in the west, but the government has not allowed raising of fuel prices.