Inflation in September 2022 is primarily contributed by a rise in prices of mineral oils, food articles, crude petroleum & natural gas and chemicals & chemical products
The country’s Wholesale Price Index (WPI)-based inflation softened to 10.7 per cent in September 2022, compared with the 12.41 per cent recorded in August 2022, according to the latest data from the commerce and industry ministry. This is the 18th consecutive month that the WPI inflation has remained in double digits.
The highest inflation was recorded in high-speed diesel (HSD) at 65.96 per cent YoY, followed by potato (49.79 per cent) and crude petroleum and natural gas (44.72 per cent). Inflation in food articles in September eased to 11.03 per cent, against 12.37 per cent in August. However, inflation in vegetables rose to 39.66 per cent during the month, as against 22.29 per cent in August.
In the fuel and power basket, inflation came in lower at 32.61 per cent in September, against 33.67 per cent in August. In manufactured products and oil seeds it was 6.34 per cent and (-) 16.55 per cent, respectively.
“Inflation in September 2022 is primarily contributed by a rise in prices of mineral oils, food articles, crude petroleum & natural gas, chemicals & chemical products, basic metals, electricity and textiles, etc., as compared to the corresponding month of the previous year, the ministry said.
It added that the inflation rate based on the WPI Food Index decreased to 8.08 per cent in September 2022, from 9.93 per cent in August 2022. The key segment Primary Articles grew 11.73 per cent year-on-year in September. The ‘fuel and power’ segment saw a 32.61 per cent growth in September, compared with 33.67 per cent in August.
Month-on-month, the Primary Articles (which has a weightage of 22.62 per cent) saw a decline of 1.34 per cent to 176.2 (provisional) in September 2022 from 178.6 (provisional) for the month of August 2022. Prices of food articles (0.28 per cent) increased in September 2022 as compared to August 2022. Prices of non-food articles (-3.60 per cent), crude petroleum & natural gas (-6.38 per cent) and minerals (-6.45 per cent) declined in September 2022 as compared to August 2022.
Meanwhile, according to the latest data released recently, India’s retail inflation accelerated to 7.41 per cent in September, compared with 7 per cent in the previous month. September registered a five-month-high level amid a surge in food prices.
Inflation in rural areas in September 2022 rose to 7.56 per cent, while that in urban areas accelerated to 7.27 per cent. In September 2021, the retail inflation had stood at 4.35 per cent. Inflation in the food basket rose to 8.60 per cent in September this year, compared with 7.62 per cent in August.
According to media report, the food ministry’s high-level panel will likely meet next week to determine steps to ease prices of essential commodities in the country. It could include listing further restrictions on exports, a drive against hoarding, and the release of buffer stock as possible interventions.
