WPI inflation at nine-month high, stands at 1.55% in Nov

Wholesale price-based inflation rose to 1.55% in November 2020 as compared to 1.48% in October 2020. WPI inflation in October 2020 was at an eight-month high as manufactured products turned costlier. November 2019 WPI inflation was at 0.58%.

Primary articles inflation was at 2.72 percent in November 2020 and 4.74 percent in October 2020 on yearly basis. Prices of Non-food Articles (6.17%) increased in November, 2020 as compared to October, 2020. Prices of Minerals (-13.19%), Crude Petroleum & Natural Gas (-11.11%) and Food Articles (-0.82%) declined in November, 2020 as compared to October, 2020.

Fuel and power inflation was at -9.87%, up by 0.2% M-o-M, compared to -10.95 percent in October 2020. Fuel and power index increased by 0.22% to 91.3 in November as opposed to 91.1 in October.

Manufactured products saw inflation rising to 2.97%, up 0.8% M-o-M compared to 2.12% in October 2020. 13 groups that witnessed increase in prices are food products; textiles; wearing apparel; printing and reproduction of recorded media; chemicals and chemical products; pharmaceuticals, medicinal chemical and botanical products; rubber and plastics products; basic metals; fabricated metal products, except machinery and equipment; electrical equipment; machinery and equipment; other transport equipment; and furniture.

Food inflation for November 2020 was at 4.27% compared to 5.78% in October 2020. The decline in the WPI food inflation in November 2020 partly reflected the correction in vegetable prices, as well as a high base, which will persist in December 2020.