Inflation falls to 3.32% on low price of naptha, minerals
Inflation falls to 3.32% on low price of naptha, minerals Inflation based on the wholesale price index (WPI) stood at 3.32% for the week ended September 8 as against 3.52% for the previous week. The annual rate of inflation stood at 5.22% as on September 9 a year ago.
Recently, the RBI Governor, Dr Y V Reddy in Mexico said that the recent gains in bringing down inflation and in stabilizing inflation expectations should support the current expansionary phase of growth cycle. It is, however, necessary to continuously assess the risks to the inflation outlook emanating from high and volatile international crude prices, the continuing firmness in key food prices and uncertainties surrounding the evolution of demand-supply gaps globally, as well as in India.
For the week ended, September 8, prices of food articles such as fruits & vegetables, condiments and spices , barley and wheat rose by 1% each.On the other hand, prices of bajra, fish-marine and maize declined 3%, 2% and 1% respectively.
Whereas, for non-food articles, price of fodder rose 2% and that of raw cotton, groundnut seed and cotton seed moved northward (1% each). However, the prices of niger seed (6%), soyabean (4%) and raw tobacco and sunflower (2% each) declined.
The headline inflation mainly declined as `fuel, power, light and lubricants` showed a decline by 0.1%. Prices of naphtha moved down 2%, but prices of furnance oil rose 1%.
Prices of bran of all kinds increased to 5%, tractor tyres rose 20%, giant tyres moved up 10% and giant tubes was up by 9%. On the other hand, prices of soyabean oil declined 1%, and that of cement moved down 0.2%.
Jelly filled telephone cables prices moved up 5%, whereas price of lead ingots declined 5%. Prices of both zinc ingots and air & gas compressors was down 3%,
According to the provisional data provide d today, the official wholesale price index for `All Commodities` for the week ended July 14 rose 0.33% to 213.6 from 212.9 for the previous week
