New Delhi: The wholesale inflation rose for the third consecutive month in May at 2.61 per cent on account of rise in prices of food articles, especially vegetables, and manufactured items. The wholesale price index (WPI) based inflation was 1.26 per cent in the previous month. It was (-) 3.61 per cent in May 2023.
“Positive rate of inflation in May, 2024 is primarily due to increase in prices of food articles, manufacture of food products, crude petroleum & natural gas, mineral oils, other manufacturing etc,” the Ministry of Commerce & Industry said in a statement on Friday.
As per the data, inflation in food articles rose 9.82 per cent in May, as against 7.74 per cent in April. Inflation in vegetables was 32.42 per cent in May, up from 23.60 per cent in the previous month. Onion inflation was at 58.05 per cent, while potato was 64.05 per cent. Pulses inflation rose 21.95 per cent in May.
In the fuel and power basket, inflation stood at 1.35 per cent, marginally lower than 1.38 per cent in April. In manufactured products, inflation was at 0.78 per cent, higher than (-) 0.42 per cent in April. The rise in May WPI is in contrast to the retail inflation data for the month. The Reserve Bank of India (RBI) mainly takes into account retail inflation while framing monetary policy.
Retail inflation eased to 1 year low of 4.75 per cent in May, data released earlier this week showed. The RBI earlier this month kept the interest rate unchanged for the eighth time in a row.
Wholesale price inflation continued to rise for the third straight month to 2.61 per cent in May from 1.26 per cent in April, led by a surge in food article prices. Economy Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
