Wholesale inflation hits 25-month low

The wholesale inflation for the month of July dropped to a two-year low of -0.58 per cent primarily due to decrease in prices of food articles, mineral oils, crude petroleum and natural gas. The Ministry of Commerce and Industry on Thursday released the Wholesale Price Index data for the month of July.

The month-over-month change in WPI for July stood at 0.39 per cent.

The WPI was at a 20-month low of -0.13 per cent in June. In May, the WPI fell to a 14 month low of 0.39 per cent.

The Wholesale Price Index tracks factory gate prices before retail prices.

According to the ministry, the prices of index for fuel and power increased by 1.12 per cent from 143 (provisional) for June to 144.6 (provisional) in July. The price of mineral oils (1.98 per cent) increased in July as compared to June. Price of coal (-0.44 per cent) and electricity (- 0.36 per cent) decreased in July, as compared to the previous month.

The prices of crude petroleum and natural gas (2.56 per cent), non-food articles (2.11 per cent) and food articles (0.96 per cent) increased while the price of minerals (-1.08 per cent) decreased in July in comparison to June.