Wholesale Inflation Slowed To 11-Month Low At 12.4% In August

Wholesale Inflation Slowed To 11-Month Low At 12.4% In August: The report announced by the Ministry of Commerce and Industry stated that Wholesale Inflation slowed to 11 month low of 12.4% in August. Wholesale Inflation is based on the Wholesale price index (WPI) and it got slowed down for the third consecutive month. The core Wholesale Price Index-based inflation got reduced to 7.9 percent in August which is 17 month low.

Wholesale Inflation Slowed To 11-Month Low At 12.4% In August: Important points

• Food Inflation hastened to 12.37 percent in August as per the information provided by the Ministry of Commerce and Industry Department. The prices of Wheat, vegetables, fruits, and products rich in protein increased in comparison to their prices a year ago.
• A decrease in inflation was seen for fuel and manufactured items. The released report accounts, 33.67% inflation for fuel and 7.51% inflation for manufactured items. 
• In August the price of crude oil all over the world came down to the $100-mark and this happened for the first time since April. The WPI inflation for Liquified Petroleum Gas(LPG), petrol, and diesel decelerated. The WPI Inflation for LPG(19.75%), Petrol(38.68%), and Diesel(60.15%) was calculated.

Wholesale Inflation Slowed To 11-Month Low At 12.4% In August in Hindi

What is WPI?

• The cost of a representative basket of wholesale goods is known as the Wholesale Price Index(WPI).
• The calculation of overall change in the prices of the producer over time is known as WPI.
• The measurement of inflation based on the prices of goods before they reach consumers.
• Wholesale price of a few chosen commodities are known and that is approximately 240 in number. WPI is measured on the basis of the commodities available.
• The commodities relevant for the calculation are categorized on the basis of their importance in that particular area and the time period at which WPI is considered.

Current Affairs