The official Wholesale Price Index for ‘All Commodities’ (Base: 2004-05 = 100) for the month of March, 2014 rose by 0.5 percent to 179.8 (provisional) from 178.9 (provisional) for the previous month.

INFLATION

The annual rate of inflation, based on monthly WPI, stood at 5.70% (provisional) for the month of March, 2014 (over March,2013) as compared to 4.68% (provisional) for the previous month and 5.65% during the corresponding month of the previous year. Build up inflation rate in the financial year so far was 5.70% compared to a build up rate of 5.65% in the corresponding period of the previous year.

Inflation for important commodities / commodity groups is indicated in Annex-1 and Annex-II.

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 0.7 percent to 240.2 (provisional) from 238.6 (provisional) for the previous month. The groups and items which showed variations during the month are as follows:-

The index for ‘Food Articles’ group rose by 1.0 percent to 235.3 (provisional) from 232.9 (provisional) for the previous month due to higher price of jowar (8%), ragi (4%), fruits & vegetables, maize, urad and moong (3% each),      barley and bajra (2% each) and coffee, mutton, milk, fish-marine, masur and poultry chicken (1% each).  However, the price of egg (3%), tea (2%) and wheat (1%) declined.

The index for ‘Non-Food Articles’ group declined by 0.1 percent to 217.2 (provisional) from 217.4 (provisional) for the previous month due to lower price of flowers (8%), guar seed (6%), raw silk (5%), raw cotton (4%), cotton seed   (3%), sunflower (2%) and  raw jute, mesta and safflower (kardi seed) (1% each).  However, the price of fodder       (6 %), copra (coconut), logs & timber and soyabean (5% each), gingelly seed (sesamum) (3%) and castor seed,      raw rubber, tobacco, rape & mustard seed, linseed, groundnut seed and coir fibre (1% each) moved up.

The index for ‘Minerals’  group declined by 0.3 percent to  350.9 (provisional) from 352.1 (provisional) for the previous month due to lower price of dolomite (8%), magnesite (6%), zinc concentrate (5%), copper ore (3%),      barytes (2%) and chromite and crude petroleum (1% each).  However, the price of sillimanite (3%) and iron ore and manganese ore (2% each) moved up.

FUEL & POWER (Weight 14.91%)

The index for this major group rose by 0.2 percent to  213.1 (provisional) from 212.6 (provisional) for the previous month due to higher price of high speed diesel and petrol (1% each).  However, the price of kerosene (2%) and       bitumen and LPG (1% each) declined.

MANUFACTURED PRODUCTS (Weight 64.97%)

The index for this major group rose by 0.5 percent to 153.5 (provisional) from 152.7 (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 0.3 percent to 168.7 (provisional) from 168.2 (provisional) for the previous month due to higher price of tea dust (blended) (3%), rice bran oil (2%) and mustard & rapeseed oil,     sunflower oil, gur, sugar and gola (cattle feed) (1% each).  However, the price of coffee powder (2%), tea leaf (unblended) and cotton seed oil (2% each) and groundnut oil, oil cakes and processed prawn (1% each) declined.

The index for ‘Beverages, Tobacco & Tobacco Products’ group rose by 4.0 percent to 195.1 (provisional) from 187.6 (provisional) for the previous month due to higher price of cigarette (11%), rectified spirit and imfl-blended (6% each), dried tobacco (2%) and beer (1%).

The index for ‘Textiles’ group rose by 0.6 percent to 141.3 (provisional) from 140.4 (provisional) for the previous month due to higher price of gunny and hessian cloth (2%) and cotton yarn, woollen textiles and jute sacking bag (1 % each).  However, the price of jute yarn (2%) declined.

The index for ‘Wood & Wood Products’ group rose by 0.5 percent to 183.1 (provisional) from 182.1 (provisional) for the previous month due to higher price of plywood & fibre board (1%).

The index for ‘Paper & Paper Products’ group rose by 0.1 percent to 146.3 (provisional) from 146.2 (provisional) for the previous month due to higher price of maplitho paper (2%) and kraft paper & bags (1%).  However, the price of      paper cartons / boxes (2%) declined.

The index for ‘Leather & Leather Products’ group rose by 0.5 percent to 146.0 (provisional) from 145.3 (provisional) for the previous month due to higher price of leather garments & jackets (1%).

The index for ‘Rubber & Plastic Products’ group rose by 0.5 percent to 149.2 (provisional) from 148.4 (provisional) for the previous month due to higher price of plastic products (1%).

The index for ‘Chemicals & Chemical Products’ group rose by 0.2 percent to 151.1 (provisional) from 150.8 (provisional) for the previous month due to higher price of synthetic resin (4%), dye & dye intermediates (2%) and     pigment & pigment intermediates, pesticides, castor oil, non-cyclic compound, rubber chemicals, thermocol and safety  matches/ match box (1% each).  However, the price of agarbattis and basic organic chemicals (1% each) declined.

The index for ‘Non-Metallic Mineral Products’ group rose by 0.7 percent to 167.6 (provisional) from 166.5 (provisional) for the previous month due to higher price of marbles (5%), bricks & tiles (2%) and railway sleeper and     white cement (1% each).

The index for ‘Basic Metals, Alloys & Metal Products’ group rose by 0.6 percent to 167.6 (provisional) from 166.6 (provisional) for the previous month due to higher price of rails (6%), brass (5%), pencil  ingots (4%),     nuts/bolts/screw/ washers and zinc (3% each), ferro chrome, ferro silicon, steel castings, silver and gp/gc sheets (2 % each) and ferro manganese, sheets, joist & beams, aluminium and metal containers (1% each).

The index for ‘Machinery & Machine Tools’ group rose by 0.2 percent to 132.7 (provisional) from 132.4 (provisional) for the previous month due to higher price of battery dry cells (8%), fibre optic cable (3%), t.v.sets and air conditioner & refrigerators (2% each) and ball/roller bearing and control equipments (1% each).  However, the price of sprinkler and capacitors (1% each) declined.

The index for ‘Transport, Equipment & Parts’ group rose by 0.2 percent to 135.8 (provisional) from 135.5 (provisional) for the previous month due to higher price of tractors (3%) and auto parts (1%).

FINAL INDEX FOR THE MONTH OF JANUARY, 2014 (BASE YEAR: 2004-05=100)

For the month of  January, 2014, the final Wholesale Price Index for ‘All Commodities’ (Base: 2004-05=100) stood at 179.1 as compared to 178.9 (provisional) and annual rate of inflation based on final index stood at 5.17 percent as compared to 5.05 percent respectively as reported on 14.02.2014.

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Wholesale price inflation rises, with food and manufactured products driving month-on-month index increases. The Wholesale Price Index (Base: 2004-05=100) for March 2014 rose to a provisional 179.8 producing a WPI-based annual inflation rate of 5.70 percent; primary articles and manufactured products increased modestly while non-food articles and minerals declined slightly and fuel & power edged up, with a January 2014 final index revision to 179.1 and a final annual inflation rate of 5.17 percent.