Index Numbers of Wholesale Prices in India (Base: 2004-05=100) Review for the month of November, 2010

The Wholesale Price Index for 'All Commodities' (Base: 2004-05=100) for the month of November, 2010 rose by 0.4 percent to 142.3 (Provisional) from 141.7 (Provisional) for the previous month.

INFLATION

The annual rate of inflation, based on monthly WPI, stood at 7.48% (Provisional) for the month of November, 2010 (over November, 2009) as compared to 8.58% (Provisional) for the previous month and 4.50% during the corresponding month of the previous year. Build up inflation in the financial year so far was 4.79% compared to a build up of 7.47% in the corresponding period of the previous year.

Inflation for important commodities / commodity groups is indicated in Annex-1.   The movement of the index for the various commodity groups is summarized below:-

PRIMARY ARTICLES (Weight 20.12%)

The index for this major group rose by 0.8 percent to 182.6 (Provisional) from 181.2 (Provisional) for the previous month.  The groups and items for which the index showed variations during the month are as follows:-

The index for 'Food Articles' group rose by 0.1 percent to 180.2 (Provisional) from 180.1  (Provisional) for the previous month due to higher prices of egg (13%), tea (4%), barley and fish-marine (3% each), maize, beef & buffalo meat and pork (2% each) and poultry chicken, gram and fruits & vegetables (1% each).  However, the prices of urad (10%), moong (8%), arhar (5%), fish-inland (4%), bajra andjowar (3% each), masur and mutton (2% each) and milk and wheat (1% each) declined.

The index for 'Non-Food Articles' group rose by 3.9 percent to 167.7 (Provisional) from 161.4  (Provisional) for the previous month due to higher prices of logs & timber and flowers (35% each), raw jute (18%), niger seed (13%), raw rubber (10%), safflower (9%), fodder (8%), coir fibre (7%), copra (6%), sunflower (4%), raw cotton and castor seed (2% each) and gingelly seed  and raw silk (1% each).  However, the prices of groundnut seed (8%), gaur seed and mesta (4% each) and linseed and cotton seed (1% each) declined.

FUEL, POWER, LIGHT & LUBRICANTS (Weight 14.91%)

The index for this major group rose by 0.3 percent to 148.6 (Provisional) from 148.1 (Provisional) for the previous month due to higher prices of light diesel oil (5%), aviation turbine fuel (4%) and       petrol, furnace oil and naphtha (1% each).

MANUFACTURED PRODUCTS (Weight 64.97%)

The index for this major group rose by 0.3 percent to 128.4 (Provisional) from 128.0 (Provisional) for the previous month. The groups and items for which the index showed variations during the month are as follows:-

The index for 'Food Products' group rose by 1.1 percent to 141.5 (Provisional) from 140.0 (Provisional) for the previous month due to higher prices of tea leaf (11%), canned fish (6%), sunflower oil (4%), salt, gram powder (besan), oilcakes and sugar (2% each) and copra oil, soyabean oil, vanaspati, ice cream, palm oil, powder milk and ghee (1% each).  However, the prices of gur and molasses (4% each), groundnut oil (3%), cashew kernel (2%) and canned meat, mixed spices and butter (1% each) declined.

The index for 'Beverages, Tobacco & Tobacco Products' group rose by 0.3 percent to 144.5 (Provisional) from 144.1 (Provisional) for the previous month due to higher prices of dried tobacco (5%) and non-alcoholic beverages (all types) (1%).

The index for 'Textiles' group rose by 0.3 percent to 117.3 (Provisional) from 116.9 (Provisional) for the previous month due to higher prices of woollen yarn (15%), viscose staple fibre (8%), tyre cord fabric and nylon yarn (3% each), cotton cloth finished /processed, finished / processed cotton yarn (not knitted), texturised and twisted yarn, gunny and hessian cloth, synthetic suiting (incl.blended)  and cotton yarn (dyed) (2% each) and jute sacking bag, polyester yarn, synthetic yarn, coir mats & matting, jute sacking cloth and cotton yarn (unbleached) (1% each).  However, the prices of mixed fabrics, other cotton hosiery goods and acrylic yarn (1% each) declined.

The index for 'Wood & Wood Products' group declined by 0.3 percent to 148.2 (Provisional) from 148.6 (Provisional) for the previous month due to lower prices of plywood board (1%).  However, the prices of veneer wood (3%) moved up.

The index for 'Paper & Paper Products' group rose by 0.7 percent to 125.7 (Provisional) from 124.8 (Provisional) for the previous month due to higher prices of kraft  paper & bags (4%), paper cartons / boxes (3%) and newsprint, maplitho paper and laminated paper (1% each).  However, the prices of other printing and publishing (3%) and books/periodicals/ journals (2%) declined.

The index for 'Leather & Leather Products' group declined by 0.2 percent to 127.9 (Provisional) from 128.2 (Provisional) for the previous month due to lower prices of leather shoe upper (1%).

The index for 'Rubber & Plastic Products' group rose by 0.8 percent to 125.0 (Provisional) from 124.0 (Provisional) for the previous month due to higher prices of rubber moulded goods (16%),     plastic/pvc pipe (8%), rubber transmission belt (4%), cycle / rickshaw tube and polyester film (3% each) and HDPE bag and rubber brakes (1% each).  However, the prices of plastic containers (3%) and other plastic products and polyester chips (1% each) declined.

The index for 'Chemicals & Chemical Products' group rose by 0.1 percent to 123.0 (Provisional) from 122.9 (Provisional) for the previous month due to higher prices of cypermethrin (4%), additives (3%), adhesive &  gum (2%) and acid (inorganic), olio resin & gelatin, dye & dye intermediates, caustic soda & soda ash and hardeners (1% each).  However, the prices of phenol or phenol extract (6%), other pesticides and perfume / scent (2% each) and bleaching powder, chlorine and alcohol & mixture (1% each) declined.

The index for 'Non-Metallic Mineral Products' group rose by 0.1 percent to 144.5 (Provisional) from 144.4 (Provisional) for the previous month due to higher prices of concrete poles & posts (6%) and railway sleeper (1%).  However, the prices of white cement (1%) declined.

The index for 'Basic Metals, Alloys & Metal Products' group rose by 0.2 percent to 134.1 (Provisional) from 133.8 (Provisional) for the previous month due to higher prices of non-ferrous casting & forging, CRC, zinc and HRC (2% each) and pig iron, locks, rails, cylinder liners, aluminium coils/rolls and slab (1% each).  However, the prices of aluminium seals (4%), melting scrap and nuts/bolts/screw/ washers (2% each) and pipes/tubes/rods/strips, sponge iron, pencil ingots, steel rods and angles (1% each) declined.

The index for 'Machinery & Machine Tools' group rose by 0.1 percent to 121.1 (Provisional) from 121.0 (Provisional) for the previous month due to higher prices of electric  connectors / plugs /sockets/holders (20%), meters / starter (non-electrical) and food/ beverages/tobacco processing machinery (5% each), industrial  valves (2%) and engines (1%).  However, the prices of textile machinery (2%) declined.

The index for 'Transport, Equipment & Parts' group rose by 0.1 percent to 119.6 (Provisional) from 119.5 (Provisional) for the previous month due to higher prices of shafts (all kinds) (2%) and tractors (1%).

 FINAL INDEX FOR THE MONTH OF SEPTEMBER, 2010 (BASE YEAR: 2004-05=100)

For the month of September, 2010 the final Wholesale Price Index for 'All Commodities' (Base: 2004-05=100) stood at 141.5  as compared to 141.1 (Provisional) and annual rate of inflation based on final index stood at 8.93 percent as compared to 8.62 percent (Provisional) reported on 15.10.2010.

Next date of press release: 14/01/2011 for the month of December, 2010

Annexure-I

Wholesale Price Index and Rates of Inflation (Base Year: 2004-05=100)