Index Numbers of Wholesale Price in India (Base: 2011-12=100)

Review for the month of February, 2020

The official Wholesale Price Index for 'All Commodities' (Base: 2011-12=100) for the month of February, 2020 declined by 0.6% to 122.2 (provisional) from 122.9 (provisional) for the previous month.

INFLATION

The annual rate of inflation, based on monthly WPI, stood at 2.26% (provisional) for the month of February,2020 (over February,2019) as compared to 3.1% (provisional) for the previous month and 2.93% during the corresponding month of the previous year. Build up inflation rate in the financial year so far was 1.92% compared to a build up rate of 2.75% 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 group is summarized below:-

PRIMARY ARTICLES (Weight 22.62%)

The index for this major group declined by 2.8% to 143.1 (provisional) from 147.2 (provisional) for the previous month. The groups and items which showed variations during the month are as follows:-

The index for 'Food Articles' group declined by 3.7% to 154.9 (provisional) from 160.8 (provisional) for the previous month due to lower price of fruits & vegetables (14%), tea (8%), egg and maize (7% each), condiments & spices and bajra (4% each), gram and jowar (2% each) and fish-inland, pork, ragi, wheat, urad and masur (1% each). However, the price of beef and buffalo meat and fish-marine (5% each), betel leaves (4%), moong and poultry chicken (3% each), mutton (2%) and barley, rajma and arhar (1% each) moved up.

The index for ' Non-Food Articles' group declined by 0.4% to 131.6 (provisional) from 132.1 (provisional) for the previous month due to lower price of safflower (kardi seed) (7%), soyabean (6%), cotton seed (4%), castor seed, niger seed and linseed (3% each), gaur seed, rape & mustard seed and fodder (2% each) and raw cotton and mesta (1% each). However, the price of raw silk (7%), floriculture (5%), groundnut seed and raw jute (3% each), gingelly seed (sesamum) (2%) and skins (raw), coir fibre and raw rubber (1% each) moved up.

The index for 'Minerals' group rose by 3.5% to 147.6 (provisional) from 142.6 (provisional) for the previous month due to higher price ofiron ore (7%), phosphorite and copper concentrate (4% each), limestone (3%). However, the price of chromite and bauxite (3% each), lead concentrate and zinc concentrate (2% each) and manganese ore (1%) declined.

The index for 'Crude Petroleum & Natural Gas' group declined by 1.5% to 87.0 (provisional) from 88.3 (provisional) for the previous month due to lower price of crude petroleum (2%).

FUEL & POWER (Weight 13.15%)

The index for this major group rose by 1.2% to 103.9 (provisional) from 102.7 (provisional) for the previous month. The groups and items which showed variations during the month are as follows:-

The index for 'Mineral Oils' group declined by 1.2% to 92.4 (provisional) from 93.5 (provisional) for the previous month due to lower price of naphtha (7%), HSD (4%), petrol (3%). However, the price ofLPG (15%), petroleum coke (6%), furnace oil and bitumen (4% each), kerosene (2%) and lube oils (1%) moved up.
 

The index for 'Electricity' group rose by 7.2% to 117.9 (provisional) from 110.0 (provisional) for the previous month due to higher price of electricity (7%).

MANUFACTURED PRODUCTS (Weight 64.23%)

The index for this major group rose by 0.2% to 118.7 (provisional) from 118.5 (provisional) for the previous month. The groups and items which showed variations during the month are as follows:-

The index for 'Manufacture of Food Products' group declined by 0.9% to 136.9 (provisional) from 138.2 (provisional) for the previous month due to lower price of manufacture of health supplements (5%), rice bran oil, rapeseed oil and processed tea (4% each), gur, cotton seed oil and manufacture of prepared animal feeds (3% each), chicken/duck, dressed - fresh/frozen, copra oil, mustard oil, castor oil, sunflower oil and sooji (rawa ) (2% each) and vanaspati, maida, rice products, gram powder (besan), palm oil, manufacture of macaroni, noodles, couscous and similar farinaceous products, sugar, coffee powder with chicory, wheat flour (atta), manufacture of starches and starch products and other meats, preserved/processed (1% each). However, the price of molasses (4%), buffalo meat, fresh/frozen (2%) and spices (including mixed spices), processing and preserving of fish, crustaceans and molluscs and products thereof, ice cream, condensed milk, groundnut oil and salt (1% each) moved up.

The index for 'Manufacture ofBeverages' group rose by 0.1% to 124.1 (provisional) from 124.0 (provisional) for the previous month due to higher price of wine, country liquor, rectified spirit and beer (1% each). However, the price of aerated drinks/soft drinks (incl. soft drink concentrates) and bottled mineral water (1% each) declined.

The index for 'Manufacture of Tobacco Products' group rose by 2.1% to 154.2 (provisional) from 151.0 (provisional) for the previous month due to higher price of cigarette (4%) and other tobacco products (1%).

The index for 'Manufacture of Textiles' group rose by 0.3% to 116.7 (provisional) from 116.4 (provisional) for the previous month due to higher price of weaving & finishing of textiles and manufacture of other textiles (1% each). However, the price of manufacture of made-up textile articles, except apparel, manufacture of cordage, rope, twine and netting and manufacture of knitted and crocheted fabrics (1% each) declined.

The index for 'Manufacture Of Wearing Apparel' group declined by 0.1 % to 137.8 (provisional) from 138 (provisional) for the previous month due to lower price ofLeather garments incl. Jackets (2%). However, the price ofBabies garments, knitted (2%) moved up.

The index for 'Manufacture of Leather and Related Products' group declined by 0.4% to 117.8 (provisional) from 118.3 (provisional) for the previous month due to lower price of leather shoe, vegetable tanned leather and harness, saddles & other related items (1% each). However, the price of belt & other articles of leather, plastic/PVC chappals and waterproof footwear (1% each) moved up.

The index for 'Manufacture of Wood and of Products of Wood and Cork ' group declined by 0.3% to 132.7 (provisional) from 133.1 (provisional) for the previous month due to lower price of plywood block boards (3%), wooden block - compressed or not (2%) and particle boards (1%). However, the price of lamination wooden sheets/veneer sheets, wooden box/crate and wood cutting, processed/sized (1% each) moved up.

The index for 'Manufacture of Paper and Paper Products' group rose by 0.8% to 120.0 (provisional) from 119.1 (provisional) for the previous month due to higher price of tissue paper (7%), map litho paper and corrugated sheet box (2% each) and hard board, base paper, paper for printing & writing, kraft paper and pulp board (1% each). However, the price of paper bag including craft paper bag (7%) and laminated paper (1%) declined.

The index for 'Manufacture of Chemicals and Chemical Products' group declined by 0.3% to 116.0 (provisional) from 116.3 (provisional) for the previous month due to lower price of poly propylene (pp) (8%), mono ethyl glycol (5%), sodium silicate and caustic soda (sodium hydroxide) (3% each), menthol, oleoresin, carbon black, safety matches (match box), printing ink and viscose staple fibre (2% each) and acetic acid and its derivatives, soda ash/washing soda, plasticizer, ammonium phosphate, paint, ethylene oxide, detergent cake, washing soap cake/bar/powder, urea, ammonium sulphate, fatty acid, gelatin and aromatic chemicals (1% each). However, the price ofnitric acid (4%), catalysts, organic surface active agent, powder coating material and organic solvent (3% each), alcohols, aniline (including pna, ona, ocpna) and ethyl acetate (2% each) and

 amine, camphor, organic chemicals, other inorganic chemicals, adhesive tape (non-medicinal), ammonia liquid, liquid air & other gaseous products, polyester film(metalized), phthalic anhydride, poly vinyl chloride (PVC), dye stuff/dyes incl. dye intermediates and pigments/colours, sulphuric acid, ammonium nitrate, fungicide, liquid, foundry chemical, toilet soap and additive (1% each) moved up.

The index for 'Manufacture of Pharmaceuticals, Medicinal Chemical and Botanical Products' group rose by 2.0% to 130.3 (provisional) from 127.8 (provisional) for the previous month due to higher price of anti-malarial drugs (9%), antidiabetic drug excluding insulin (i.e. tolbutam) (6%), anti-retroviral drugs for HIV treatment (5%), API& formulations of vitamins (4%), anti inflammatory preparation (2%) and antioxidants, antipyretic, analgesic, anti-inflammatory formulations, anti allergic drugs and antibiotics & preparations thereof (1% each). However, the price of vials/ampoule, glass, empty or filled (4%) and plastic capsules (1%) declined.

The index for 'Manufacture of Rubber and Plastics Products' group declined by 0.2% to 107.7 (provisional) from 107.9 (provisional) for the previous month due to lower price of elastic webbing (4%), plastic tape and plastic box/container and plastic tank (2% each) and condoms, cycle/cycle rickshaw tyre, tooth brush, rubber tread, 2/3 wheeler tyre, processed rubber, plastic tube (flexible/non-flexible), tractor tyre, solid rubber tyres/wheels and polypropylene film (1% each). However, the price of plastic furniture (5%), plastic button (4%), rubber components & parts (3%), rubberized dipped fabric (2%) and rubber cloth/sheet, rubber tubes- not for tyres, V belt, PVC fittings & other accessories, plastic bag, rubber crumb and polyester film (non-metalized) (1% each) moved up.

The index for 'Manufacture of Other Non-Metallic Mineral Products' group rose by 0.7% to 116.3 (provisional) from 115.5 (provisional) for the previous month due to higher price of cement superfine (6%), ordinary portland cement (2%) and ceramic tiles (vitrified tiles), porcelain sanitary ware, marble slab, slag cement, fibre glass incl. sheet, railway sleeper and pozzolana cement (1% each). However, the price of ordinary sheet glass (2%) and stone, chip, cement blocks (concrete), lime and calcium carbonate, glass bottle and non ceramic tiles (1% each) declined.

The index for 'Manufacture of Basic Metals' group rose by 1.1% to 107 (provisional) from 105.8 (provisional) for the previous month due to higher price of stainless steel pencil ingots/billets/slabs (11%), hot rolled (HR) coils & sheets, including narrow strip, MS pencil ingots, sponge iron/direct reduced iron (DRI), MS bright bars and GP/GC sheet (3% each), alloy steel wire rods, cold rolled (CR) coils & sheets, including narrow strip and pig iron (2% each) and silicomanganese, steel cables, other ferro alloys, angles, channels, sections, steel (coated/not), stainless steel tubes and ferromanganese (1% each). However, the price of stainless steel coils, strips & sheets and, aluminium shapes - bars/rods/flats (2% each) and copper shapes - bars/rods/plates/strips, aluminium ingot, copper metal/copper rings, brass metal/sheet/coils, MS castings, aluminium alloys, aluminium disk and circles and alloy steel castings (1% each) declined.

The index for 'Manufacture of Fabricated Metal Products, Except Machinery and Equipment' group declined by 0.7% to 114.6 (provisional) from 115.4 (provisional) for the previous month due to lower price of bolts, screws, nuts & nails of iron & steel (3%), forged steel rings (2%) and cylinders, steel structures, steel door and electrical stamping- laminated or otherwise (1% each). However, the price of iron/steel hinges (4%), boilers (2%) and copper bolts, screws, nuts, metal cutting tools & accessories (1% each) moved up.

The index for 'Manufacture of Computer, Electronic and Optical Products' group declined by 0.2% to 109.5 (provisional) from 109.7 (provisional) for the previous month due to lower price of telephone sets including mobile hand sets (2%) and meter (non-electrical), colour TV and electronic printed circuit board (PCB)/micro circuit (1% each). However, the price of ups in solid state drives and electro-diagnostic apparatus, used in medical, surgical, dental or veterinary sciences (4% each), scientific time keeping device (2%) and x-ray equipment and capacitors (1% each) moved up.

The index for 'Manufacture of Electrical Equipment' group declined by 0.1% to 110.7 (provisional) from 110.8 (provisional) for the previous month due to lower price of lead acid batteries for vehicles & other uses (5%), solenoid valve (3%), ACSR conductors, aluminium wire and copper wire (2% each) and domestic gas stove, PVC insulated cable, batteries, connector/plug/socket/holder-electric, aluminium/alloy conductor, air coolers and washing machines/laundry machines (1% each). However, the price of rotor/magneto rotor assembly (8%), jelly filled cables (3%), electric mixers/grinders/food processors and insulator (2% each) and AC motor, insulating & flexible wire, electrical relay/conductor, safety fuse and electric switch (1% each) moved up. 

The index for 'Manufacture of Machinery and Equipment' group rose by 0.4% to 113.4 (provisional) from 113.0 (provisional) for the previous month due to higher price of pressure vessel and tank for fermentation & other food processing (6%), roller and ball bearings, oil pump and manufacture of bearings, gears, gearing and driving elements (3%), air gas compressor including compressor for refrigerator, precision machinery equipment/form tools, grinding or polishing machine and filtration equipment (2% each) and pharmaceutical machinery, conveyors - non-roller type, excavator, lathes, harvesters, sewing machines and threshers (1% each). However, the price of dumper, moulding machine, open end spinning machinery and roller mill (raymond) (2% each), injection pump, gasket kit, clutches and shaft couplings and air filters (1% each) declined.

The index for 'Manufacture of Motor Vehicles, Trailers and Semi-Trailers' group declined by 0.3% to 114.8 (provisional) from 115.1 (provisional) for the previous month due to lower price of seat for motor vehicles (3%), shock absorbers, crankshaft, chain and brake pad/brake liner/brake block/brake rubber, others (2% each) and cylinder liners, chassis of different vehicle types and wheels/wheels & parts (1% each). However, the price of head lamp (1%) moved up.

The index for 'Manufacture of Other Transport Equipment' group rose by 1.5% to 120.5 (provisional) from 118.7 (provisional) for the previous month due to higher price of motor cycles (2%) and scooters and wagons (1% each). However, the price of diesel/electric locomotive (4%) declined.

The index for 'Manufacture of Furniture' group declined by 1.2% to 128.2 (provisional) from 129.7 (provisional) for the previous month due to lower price of foam and rubber mattress (4%) and wooden furniture, hospital furniture and steel shutter gate (1% each). However, the price of plastic fixtures (1%) moved up.

The index for 'Other Manufacturing' group rose by 3.4% to 117.0 (provisional) from 113.1 (provisional) for the previous month due to higher price of gold & gold ornaments (4%) and silver and playing cards (2% each). However, the price of stringed musical instruments (incl. santoor, guitars, etc.), non mechanical toys, football and cricket ball (1% each) declined.

 WPI FOOD INDEX (Weight 24.38%)

 The rate of inflation based on WPI Food Index consisting of ‘Food Articles’ from Primary Articles group and ‘Food Product’ from Manufactured Products group decreased from 10.12% in January, 2020 to 7.31% in February, 2020.

FINAL INDEX FOR THE MONTH OF DECEMBER, 2019 (BASE YEAR:2011-12=100)

For the month of December, 2019 the final Wholesale Price Index for 'All Commodities' (Base: 2011-12=100) stood at 123.0 as compared to 122.8 (provisional) and annual rate of inflation based on final index stood at 2.76% as compared to 2.59% (provisional) respectively as reported on 14.01.2020.

Annexure-I

Wholesale Price Index and Rates of Inflation (Base Year: 2011-12=100)

Month of February, 2020

 

Annexure-II

Wholesale Price Index declines, reducing annual WPI inflation and reflecting mixed movements across primary, fuel and manufactured goods. The Wholesale Price Index (base 2011-12=100) for February 2020 fell 0.6% month on month to a provisional 122.2; annual WPI inflation was 2.26% and build up inflation for the financial year was 1.92%. Primary Articles declined 2.8% (Food Articles down 3.7%), Minerals rose, Crude Petroleum & Natural Gas declined, Fuel & Power rose 1.2% (Mineral Oils down, Electricity up), and Manufactured Products rose 0.2% with mixed subgroup movements. The WPI Food Index declined from the prior month and December 2019 final WPI was revised slightly higher.