India’s wholesale price inflation, based on the wholesale price index (WPI), surged to 8.3% in April compared to the previous year. This increase was mainly driven by higher prices of fuels and crude oil, influenced by the Middle East conflict, as reported by the Ministry of Commerce and Industry. In March, the WPI inflation was at 3.88%.
The food inflation under WPI remained stable at 1.85% in March compared to the same period last year. In April, the month-on-month WPI inflation in the fuel and power group rose by 18.22% due to a significant surge in crude oil and natural gas prices by 29.37% amidst the Middle East conflict. However, electricity prices saw a decline of 2.53%.
The Food Index, which includes foodgrains and manufactured food products, saw a 2.31% increase in April compared to March. Moreover, the WPI inflation in manufactured products, representing 64.23% of the overall index, rose by 1.4% in April compared to the previous month, with most products showing price increases.
India’s retail inflation rate, based on the Consumer Price Index (CPI) series, stood at 3.48% in April compared to the previous year. The CPI inflation rate for electricity, gas, and other fuels remained low at 1.71% in April despite global oil price surges due to the Middle East crisis, as the government absorbed the hike.
