India’s wholesale prices stayed in deflationary mode for the sixth month in a row this September, albeit only fractionally with inflation at -0.26% compared to -0.52% in August, according to government data released on October 16.
Price rises in primary articles and food items have eased to 3.7% and 1.5%, respectively, even as the decline in fuel and power costs and manufactured products’ prices almost halved from August to -3.35% and -1.34%, respectively.
The WPI-based inflation rate has been in the negative since April and was (-)0.52% in August. In September last year, it was 10.55%.
Inflation in food articles eased to 3.35% in September, after remaining in double digits in the previous two months. It was 10.60% in August.
“Deflation in September 2023 is primarily due to fall in prices of chemical & chemical products, mineral oils, textiles, basic metals and food products as compared to the corresponding month of the previous year,” the Commerce and Industry Ministry said on October 16.
Fuel and power basket inflation was at (-)3.35% in September, against (-)6.03% in August.
In manufactured products, inflation rate was (-)1.34%, as against (-)2.37% in August.
Data released last week showed that the annual retail or consumer price inflation was at 5.02% in September, a three-month low level.
(With inputs from PTI)