India's Wholesale Price Index (WPI) Number Falls to 1.34% In March

The wholesale price index (WPI) moderated to 1.34% for the month of March, the government data showed. The number was released by the Ministry of Commerce & Industry on Monday.

According to the data, the provisional WPI number is 1.34% for the month of March, 2023 declined against previous year's March, 2022 WPI figure and February's recorded number of 3.85%

This decline in the rate of inflation in March, 2023 is primarily contributed by fall in prices of basic metals, food products, textiles, non-food articles, minerals, rubber & plastic products, crude petroleum & natural gas and paper and paper products.

In last three months, the food index has been slipping from 3.13% in January to 2.76% in February and 2.32% in March. But the month-over-month change in WPI index in March, 2023 remains unchanged as compared to February, 2023.

The index for major group increased by 1.16% to 175.0 (provisional) in March, 2023 from 173.0 (provisional) for the month of February, 2023. Prices of Minerals (8.16%), Crude Petroleum & Natural Gas (4.61%) and Food Articles (1.13%) increased in March, 2023 as compared to February, 2023. Prices of Non-food Articles declined by 2.05% in March, 2023 as compared to February, 2023.

The index for Manufactured Products declined by 0.28% to 141.2 (provisional) in March, 2023 from 141.6 (provisional) for the month of February, 2023. Out of the 22 NIC two-digit groups for manufactured products, 12 groups have witnessed an increase in prices while 9 groups have witnessed a decrease in prices, and one group remained unchanged.

While the index for Fuel and Power group declined by 1.26% to 156.8 (provisional) in March, 2023 from 158.8 (provisional) for the month of February, 2023. Prices of Coal (0.07%) increased in March, 2023 as compared to February, 2023. Prices of Mineral Oils and Electricity declined by 0.24% and 4.95% respectively in March, 2023 as compared to February 2023.

The Food Index consisting of 'Food Articles' from Primary Articles group and 'Food Product' from Manufactured Products group have increased from 171.3 in February, 2023 to 172.1 in March, 2023. The rate of inflation based on WPI Food Index decreased from 2.76% in February, 2023 to 2.32% in March, 2023.

The WPI for March, 2023 have been compiled at a weighted response rate of around 87.0% while the final figure for January, 2023 is based on the weighted response rate of around 95.0 per cent. The provisional figures of WPI will undergo revision as per the revision policy of WPI.