Index Numbers of wholesale Prices in India (Base: 2004-05=100) Review for the Month of August, 2012

The official Wholesale Price Index for ‘All Commodities’ (Base: 2004-05 = 100) for the month August, 2012 rose by 1.1 percent to 166.6 (Provisional) from 164.8 (Provisional) for the previous month.

INFLATION

The annual rate of inflation, based on monthly WPI, stood at 7.55% (Provisional) for the month of August, 2012 (over August, 2011) as compared to 6.87% (Provisional) for the previous month and 9.78% during the corresponding month of the previous year. Build up inflation in the financial year so far was 3.48% compared to a build up of 3.61% in the corresponding period of the previous year.

The movement of the index for the various commodity groups is summarized below:-

PRIMARY ARTICLES (Weight 20.12%)

The index for this major group rose by 0.3 percent to 219.5 (Provisional) from 218.8 (Provisional) for the previous month. The groups and items for which the index showed variations during the month are as follows:-

The index for `Food Articles` group declined by 0.4 percent to 211.4 (Provisional) from 212.2 (Provisional) for the previous month due to lower prices of fruits & vegetables (5%), poultry chicken (4%), fish-marine (2%) and milk (1%). However, the prices of arhar (8%), ragi(7%), gram and urad (6% each), moong, coffee and wheat (5% each), bajra, condiments & spices and masur (4% each), egg, tea and fish-inland (3% each), jowar, maize and rice (2 % each) and mutton and barley (1% each) moved up.

The index for `Non-Food Articles` group rose by 3.8 percent to 206.8 (Provisional) from 199.2 (Provisional) for the previous month due to higher prices of castor seed (15%), raw silk (14%), gingelly seed (12%), coir fibre (11%), rape & mustard seed (9%), cotton seed and linseed (7% each), niger seed and flowers (6%), soyabean (5%), fodder, groundnut seed and sugarcane (4% each), guar seed, logs & timber and raw cotton (3% each), raw jute (2%) and sunflower (1%). However, the prices of raw rubber (6%), copra (coconut) and mesta (2% each) declined.

The index for `Minerals` group declined by 1.3 percent to 331.3 (Provisional) from 335.8 (Provisional) for the previous month due to lower prices of sillimanite (13%), copper ore (9%), magnesite (7%), zinc concentrate and crude petroleum (3% each), steatite (2%) andchromite (1%). However, the prices of phosphorite (23%), iron ore (4 %) and barytes (1%) moved up.

FUEL & POWER (Weight 14.91%)

The index for this major group rose by 3.1 percent to 181.0 (Provisional) from 175.5 (Provisional) for the previous month due to higher prices of electricity (agricultural) (23%), electricity (industry) (11%), electricity (domestic) (9 %), electricity (railway traction) (8%), light diesel oil (7%), electricity (commercial) and naphtha (6%each), aviation turbine fuel (5%), furnace oil (4%), kerosene (2%) and petrol (1%).

MANUFACTURED PRODUCTS (Weight 64.97%)

The index for this major group rose by 0.8 percent to 146.9 (Provisional) from 145.7 (Provisional) for the previous month. The groups and items for which the index showed variations during the month are as follows:-

The index for `Food Products` group rose by 3.0 percent to 164.5 (Provisional) from 159.7 (Provisional) for the previous month due to higher prices of sugar (8%), oil cakes and gur (6% each), gram powder (besan), sooji (rawa) and gingelly oil (5% each), wheat flour (atta),khandsari and cotton seed oil (4% each), tea dust (unblended) and maida (3% each), mustard & rapeseed oil, vanaspati and mixed spices (2% each) and gola (cattle feed), groundnut oil, soyabean oil, bakery products, processed prawn and ghee (1% each). However, the prices of tea leaf (unblended) (1%) declined.


The index for `Textiles` group rose by 0.2 percent to 130.4 (Provisional) from 130.1 (Provisional) for the previous month due to higher prices of man-made fibre, jute yarn and cotton fabric (1% each).

The index for `Wood & Wood Products` group rose by 0.3 percent to 169.6 (Provisional) from 169.1 (Provisional) for the previous month due to higher prices of processed wood (1%).

The index for `Paper & Paper Products` group rose by 0.5 percent to 135.2 (Provisional) from 134.5 (Provisional) for the previous month due to higher prices of paper cartons / boxes (6%), newspaper (2%) and paper rolls (1%). However, the prices of computer stationery (2%) and newsprint (1%) declined.

The index for `Leather & Leather Products` group rose by 0.4 percent to 134.2 (Provisional) from 133.7 (Provisional) for the previous month due to higher prices of leathers (1%).

The index for `Rubber & Plastic Products` group rose by 0.7 percent to 136.9 (Provisional) from 135.9 (Provisional) for the previous month due to higher prices of plastic products and rubber products (1% each).

The index for `Chemicals & Chemical Products` group rose by 0.6 percent to 143.2 (Provisional) from 142.3 (Provisional) for the previous month due to higher prices of di ammonium phosphate (3%), pigment & pigment intermediates and organic manure (2% each) and synthetic resin, paints, non-cyclic compound, basic organic chemicals, adhesive & gum, ammonium sulphate, basic inorganic chemicals, safety matches/ match box and antibiotics (1% each). However, the prices of rubber chemicals and distemper (2% each) and polymers (1%) declined.

The index for `Non-Metallic Mineral Products` group rose by 1.1 percent to 164.2 (Provisional) from 162.4 (Provisional) for the previous month due to higher prices of railway sleeper (3%), grey cement (2%) and white cement and polished granite (1% each). However, the prices of glass bottles & bottleware (1%) declined.

The index for `Basic Metals, Alloys & Metal Products` group rose by 0.1 percent to 166.6 (Provisional) from 166.4 (Provisional) for the previous month due to higher prices of gold & gold ornaments (3%), ferro chrome (2%) and nuts/bolts/screw/ washers, steel: pipes & tubes, ferro manganese, zinc and aluminium (1% each). However, the prices of sponge iron (3%), pencil ingots (2%) and wire rods, melting scrap, gp/gc sheets, pig iron, copper products (other than wire) and rounds (1% each) declined.

The index for `Machinery & Machine Tools` group rose by 0.2 percent to 128.1 (Provisional) from 127.9 (Provisional) for the previous month due to higher prices of conductor (6%), lamps, fans and material handling equipments (3% each), harvester, ups / stabilizer, fibre optic cable and electric switches (2% each) and insulators, electrical wires, electric switch gears, air conditioner & refrigerators, capacitors, thresher and plastic machinery (1 % each).

The index for `Transport, Equipment & Parts` group rose by 0.6 percent to 129.3 (Provisional) from 128.5 (Provisional) for the previous month due to higher prices of auto rickshaw / tempo / matador (3%), tractors (2%) and parts of ships/boats etc., bus / mini bus / truck and motor cycle / scooter / moped (1% each).

FINAL INDEX FOR THE MONTH OF JUNE , 2012 (BASE YEAR: 2004-05=100)

For the month of June, 2012, the final Wholesale Price Index for ‘All Commodities’ (Base: 2004-05=100) stood at 164.7as comparedto 164.2 (provisional) and annual rate of inflation based on final index stood at 7.58 percent as compared to 7.25 percent respectively as reported on 16.07.2012.