Highest growth since November 2008
The official Wholesale Price Index for 'All Commodities' for the month
of December,2009 rose by 0.4% to 246.5 from 245.4 for the previous
month.
The annual rate of inflation, based on monthly WPI, stood at 7.31% for
the month of December 2009 compared with December 2008 and compared to
4.78 % for the previous month and 6.15% during the corresponding month
of the previous year. Build up inflation in the financial year so far
was 8.02% compared to a build up of 1.86% in the corresponding period
of the previous year.
The index of primary articles rose by 1.2 %to 284.1 from 280.6 for the
previous month. The index for 'Food Articles' group rose by 0.5 %to
288.4 from 287.1 for the previous month due to higher prices of urad
(8%), moong (7%), condiments & spices (5%), pork, fish-marine,
eggs, arhar and masur (3% each), bajra and milk (2% each) and rice and
gram (1% each). However, the prices of poultry chicken (7%), vegetables
& fruits (4%) and jowar, fish-inland and tea (1%) declined.
The index for 'Non-Food Articles' group rose by 3.9 %to 249.5 from
240.1 for the previous month due to higher prices of raw tobacco (22%),
raw rubber (16%), raw jute (12%), groundnut seed, rape & mustard
seed, copra and raw cotton (5% each), castor seed (3%) and cotton seed,
gingelly seed and linseed (1% each). However, the prices of niger seed
(4%), skins raw (3%) and raw silk (1%) declined.The index for
'Minerals' group rose by 0.2 %to 588.1 (Provisional) from 587.0
(Provisional) for the previous month due to higher prices of fire clay
(14 %), dolomite (13 %), gypsum and asbestos (7% each), chromite (5%),
steatite (4%), phosphorite and felspar (3% each) and barytes (2%).
However, the prices of vermiculite (11%), ochre (5%) and magnesite (1%)
declined.
The index of fuel and power rose by 0.1 %to 345.2 from 344.9 for the
previous month due to higher prices of light diesel oil, naphtha and
furnace oil (1% each).
The index of manufactured products rose by 0.2 %to 211.5 from 211.1 for
the previous month. The index for 'Food Products' group rose by 0.8 %to
253.3 from 251.4 for the previous month due to higher prices of bran
(all kinds) (9%), imported edible oil (7%), rice bran oil and coconut
oil (6% each), rape & mustard oil (5%), atta and groundnut oil (4%
each), maida (3%), sooji(rawa) and gur (2% each) and khandsari,
gingelly oil, butter and cotton seed oil (1% each). However, the prices
of soyabean oil and unrefined oil (1% each) declined.
The index for 'Textiles' group rose by 2.0 %to 149.6 from 146.7 for the
previous month due to higher prices of tyre cord (22%), hessian cloth
(9 %), cotton yarn-hanks and hessian & sacking bags (3% each),
cotton yarn-cones and woollen yarn (2% each) and other cotton yarn and
texturised yarn (1% each). However, the prices of viscose filament yarn
and polyester staple fibre (1% each) declined.
The index for 'Chemicals & Chemical Products' group declined by 0.3
%to 229.3 from 229.9 for the previous month due to lower prices of
ammonium sulphate n_content (11%), bopp film (6%), endosulfan (5%) and
monocrotophos and rubber chemicals (3% each). However, the prices of
benzene (12%), purified terephthalic acid (pta) (11%), synthetic rubber
(8%), p.v.c. resins (5%), methanol (2%) and tooth paste (1 %) moved up.
The index for 'Basic Metals Alloys & Metal Products' group rose
marginally to 258.2 from 258.1 for the previous month due to higher
prices of steel ingots (9%), zinc and zinc ingots (4% each) and oromild
steel & tensile plates (2%). However, the prices of basic pig iron
and foundry pig iron (2% each) and ms bars & rounds and heavy light
structurals (1% each) declined.
In December 2009 , all commodities monthly inflation recorded 7.31%
growth compared with December 2008. The growth rate is highest since
November 2008. Growing food prices added stress on overall price level.