The annual wholesale price-based inflation (WPI) fell to -0.92 per cent in April this year, as against 1.34 per cent in March 2023. This is below the Reuters poll that predicted a fall of 0.20 per cent. The WPI inflation fell for the first time in nearly 3 years in April with prices softening across the board. “Decline in the rate of inflation in April, 2023 is primarily contributed by fall in prices of basic metals, food products, mineral oils, textiles, non-food articles, chemical & chemical products, rubber & plastic products and paper & paper products,” said the Ministry of Commerce & Industry in a statement.
In April, the food index rose 0.17 per cent on-year as against 2.32 per cent in March. Fuel and power went up 0.93 per cent from 8.96 per cent in March, primary products was up 1.60 per cent, while manufactured products went down 2.42 per cent as against -0.77 per cent in March. WPI has been easing for the last 11 months from the 20-year highs of 16.63 per cent recorded in May 2022.
Among food items under the primary articles category, food articles inflation rose to 3.54 per cent as against 8.48 per cent in April 2022, cereals rose 7.69 per cent, wheat went up 7.27 per cent, vegetables showed -1.5 per cent inflation, milk was up 7.1 per cent, and eggs, meat & fish was up 0.77 per cent on-year. Meanwhile, WPI inflation for non-food articles was -6.59 per cent in April 2023, wherein minerals went up 6.87 per cent and crude petroleum & natural gas was up 1.64 per cent.
In the Fuel & Power category, LPG inflation was in negative at -10.49 per cent, while petrol was up 1.53 per cent and HSD rose to 1.42 per cent.
Meanwhile in manufactured products, food products inflation was in negative at -5.65 per cent, beverages rose to 2.51 per cent, tobacco was up 2.49 per cent and apparel was at 2.25 per cent. Some of the groups that have witnessed decrease in prices are chemicals & chemical products, basic metals, food products, fabricated metal products, except machinery & equipment, paper & paper products etc. in April, 2023.