Inflation rate rockets to 8.67 per cent on revised WPI base

The annual rate of inflation, based on the revised wholesale price index (with base 25 October 2008= 100) stood at 8.94 per cent (provisional) for the week ended 24 October 2009 compared with 8.67 per cent (provisional) for the previous week (ended 17 October 2009) and 11.73 per cent during the corresponding week (ended 25 October 2008) of the previous year.

As per the decision of the cabinet committee on economic affairs (CCEA), the weekly release of the wholesale price index (WPI) will henceforth cover only the primary articles and commodities in the broad group `fuel, power, light and lubricants'. 

Monthly WPI covering all commodities will be released for the month of October 2009 next week (12 November 2009).

The wholesale price index for the `primary articles' group during the week ended 24 October 2009 declined by 0.1 per cent to 273.0 (provisional) from 273.3 (provisional) for the previous week.

Among primary articles, the index for the 'food articles' group declined by 0.3 per cent to 277.7 (provisional) from 278.4 (provisional) for the previous week due to lower prices of fish-marine (-3 per cent), fruits and vegetables (-2 per cent) and barley and jowar (-1 per cent each). However, the prices of moong (3 per cent), wheat and bajra (2 per cent each) and condiments and spices and gram (1 per cent each) moved up.

The index for the 'non-food articles' group rose 0.2 per cent to 236.3 (provisional) from 235.8 (provisional) for the previous week due to higher prices of raw silk (6 per cent), raw rubber (3 per cent) and castor seed, rape and mustard seed, raw cotton and copra (1 per cent each). However, the prices of raw wool (-6 per cent) and linseed and groundnut seed (-1 per cent each) declined.