Inflation heads towards ground zero at 0.18 per cent

The annual rate of inflation based on the wholesale price index stood at 0.18 per cent (provisional) for the week ended 4 April 2009 as compared to 0.26 per cent (provisional) for the previous week (ended 28 March 2009) and 7.71 per cent during the corresponding week (ended 5 April 2008) of the previous year.
 
The official wholesale price index for 'all commodities' (Base: 1993-94 = 100) for the week ended 4 April 2009 rose 0.4 per cent to 228.2 (provisional) from 227.3 (provisional) for the previous week.

The index for the `primary articles' group rose 1.1 per cent to 247.6 (provisional) from 245.0 (provisional) for the previous week.

Among primary articles, the index for the 'food articles' group rose 1.2 per cent to 245.6 (provisional) from 242.6 (provisional) for the previous week due to higher prices of fruits and vegetables (6 per cent), arhar (2 per cent) and urad, moong and gram (1 per cent each). However, the prices of tea (-1 per cent) declined.

The index for 'non-food articles' group rose 0.7 per cent to 228.7 (provisional) from 227.0 (provisional) for the previous week due to higher prices of raw rubber (6 per cent), raw cotton (3 per cent) and raw silk (2 per cent). However, the prices of rape and mustard seed (1 per cent) declined.

The index for the `fuel, power, light and lubricants' group rose 0.5 per cent to 322.6 (provisional) from 320.9 (provisional) for the previous week due to higher prices of aviation turbine fuel (12 per cent), naphtha (8 per cent), light diesel oil (3 per cent) and bitumen (2 per cent). However, the prices of furnace oil (-1 pr cent) declined.

The index for the `manufactured products' group rose 0.1 per cent to 200.5 (provisional) from 200.3 (provisional) for the previous week.

The index for the 'food products' group rose 0.6 per cent to 220.2 (provisional) from 218.9 (provisional) for the previous week due to higher prices of imported edible oil and rice bran oil (3 per cent each), oil cakes (2 per cent) and khandsari (1 per cent).

The index for the 'chemicals and chemical products' group rose 0.1 per cent to 214.3 (provisional) from 214.0 (provisional) for the previous week due to higher prices of benzene (13 per cent), liquid injectables other than vitamins (3 per cent), PVC resins and tablets except vitamin and penicillin (2 per cent each). However, the prices of liquid chlorine (-25 per cent), acid (all kinds) (-3 per cent) and caustic soda (sodium hydroxide) (-1 per cent) declined.

The index for 'basic metals, alloys and metal products' group declined by 0.3 per cent to 255.1 (provisional) from 255.9 (provisional) for the previous week due to lower prices of basic pig iron and foundry pig iron (-5 per cent each), MS bars and rounds, steel wire, lead ingots and other iron steel (-2 per cent each) and steel wire ropes (-1 per cent). However, the prices of zinc (6 per cent) and zinc ingots (1 per cent) moved up.

The final inflation rate for the week ended 7 February 2009 has been revised to 3.69 per cent as compared to 3.92 per cent (provisional) reported earlier as the final wholesale price index for 'all commodities' stood at 227.5 as compared to 228.0 (provisional).