Index Numbers of Wholesale Price in India​: Review March 2016

The official Wholesale Price Index for ‘All Commodities’ (Base: 2004-05=100) for the month of March, 2016 rose by 0.3 percent to 174.6 (provisional) from 174.0 (provisional) for the previous month.

INFLATION

The annual rate of inflation, based on monthly WPI, stood at -0.85% (provisional) for the month of March, 2016 (over March, 2015) as compared to -0.91% (provisional) for the previous month and -2.33% during the corresponding month of the previous year. Build up inflation rate in the financial year so far was -0.85% compared to a build up rate of -2.33% in the corresponding period of the previous year.

Inflation for important commodities / commodity groups is indicated in Annex-1 and Annex-II.

The movement of the index for the various commodity groups is summarized below:-

PRIMARY ARTICLES (Weight 20.12%)

The index for this major group declined by 0.2 percent to 244.1 (provisional) from 244.7 (provisional) for the previous month. The groups and items which showed variations during the month are as follows:-

The index for ‘Food Articles’ group declined by 0.2 percent to 258.6 (provisional) from 259.1 (provisional) for the previous month due to lower price of tea (7%), egg (6%), arhar and masur (4% each), condiments & spices (3%), gram, urad, moong and fish-inland (2% each) and barley and fruits & vegetables (1% each). However, the price of poultry chicken (9%), bajra (4%), fish-marine (3%) and maize, jowar, beef & buffalo meat, milk and pork (1% each) moved up.

The index for ‘Non-Food Articles’ group rose by 0.5 percent to 219.0 (provisional) from 217.9 (provisional) for the previous month due to higher price of raw rubber (17%), groundnut seed (8%), sugarcane (6%), raw jute, soyabean and linseed (2% each) and coir fibre, cotton seed, fodder and safflower (kardi seed) (1% each). However, the price of flowers (17%), copra (coconut) (8%), rape & mustard seed (5%), raw silk, guar seed, raw cotton, gingelly seed and mesta (3% each) and castor seed and niger seed (2% each) declined.

The index for ‘Minerals’ group declined by 2.5 percent to 178.5 (provisional) from 183.0 (provisional) for the previous month due to lower price of crude petroleum (4%), iron ore (3%), magnesite (2%) and chromite (1%). However, the price of zinc concentrate (4%) and sillimanite (1%) moved up.

FUEL & POWER (Weight 14.91%)

The index for this major group rose by 1.7 percent to 172.4 (provisional) from 169.6 (provisional) for the previous month due to higher price of aviation turbine fuel (14%), high speed diesel (6%), furnace oil (5%) and kerosene and bitumen (1% each). However, the price of electricity and petrol (3% each) and LPG (1%) declined.

MANUFACTURED PRODUCTS (Weight 64.97%)

The index for this major group rose by 0.4 percent to 153.7 (provisional) from 153.1 (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 declined by 0.2 percent to 177.7 (provisional) from 178.1 (provisional) for the previous month due to lower price of tea leaf (unblended) (14%), tea leaf (blended) (4%), tea dust (unblended) (3%), mustard & rapeseed oil (2%) and gur (1%). However, the price of gola (cattle feed) (5%), processed prawn, gingelly oil and tea dust (blended) (3% each), khandsari and canned fish (2% each) and powder milk, rice bran oil, palm oil, cotton seed oil and bakery products (1% each) moved up.

The index for ‘Beverages, Tobacco & Tobacco Products’ group rose by 1.4 percent to 210.2 (provisional) from 207.2 (provisional) for the previous month due to higher price of imfl-blended (11%), dried tobacco (7%), chewing tobacco (scented or not) (4%) and soft drinks & carbonated water and beer (1% each). However, the price of zarda (3%) declined.

The index for ‘Textiles’ group rose by 0.1 percent to 139.8 (provisional) from 139.6 (provisional) for the previous month due to higher price of jute yarn (6%), jute sacking bag (3%), jute sacking cloth (2%) and man made fabric (1%). However, the price of tyre cord fabric (2%) declined.

The index for ‘Wood & Wood Products’ group rose by 0.5 percent to 196.9 (provisional) from 195.9 (provisional) for the previous month due to higher price of processed wood (1%).

The index for ‘Paper & Paper Products’ group rose by 0.4 percent to 156.1 (provisional) from 155.5 (provisional) for the previous month due to higher price of corrugated sheet boxes (2%) and newspaper, kraft paper & bags, cream laid woven paper and paper rolls (1% each).

The index for ‘Leather & Leather Products’ group rose by 0.6 percent to 146.0 (provisional) from 145.2 (provisional) for the previous month due to higher price of leather footwear and leathers (1%).

The index for ‘Rubber & Plastic Products’ group rose by 0.4 percent to 145.6 (provisional) from 145.0 (provisional) for the previous month due to higher price of tubes (3%) and plastic products (1%).

The index for ‘Non-Metallic Mineral Products’ group rose by 0.3 percent to 178.3 (provisional) from 177.7 (provisional) for the previous month due to higher price of polished granite (2%) and grey cement (1%). However, the price of railway sleeper (1%) declined.

The index for ‘Basic Metals, Alloys & Metal Products’ group rose by 1.8 percent to 153.1 (provisional) from 150.4 (provisional) for the previous month due to higher price of gp/gc sheets (7%), rounds (6%), plates and billets (5% each), HRC, melting scrap, wire rods and angles (4% each), CRC, gold & gold ornaments, joist & beams and pencil ingots (3% each), silver, sponge iron, nuts/bolts/screw/ washers and rebars (2% each) and pig iron (1%). However, the price of steel rods (5%), lead (3%), sheets and steel: pipes & tubes (2% each) and pipes/tubes/rods/strips and steel castings (1% each) declined.

The index for ‘Machinery & Machine Tools’ group declined by 0.1 percent to 134.9 (provisional) from 135.1 (provisional) for the previous month due to lower price of fibre optic cable (9%), fluorescent tubes (3%), pvc insulated cable, electric motors and heat exchanger (2% each) and industrial valves, engines, conductor and ball/roller bearing (1% each). However, the price of machine tools (3%) and insulators (1%) moved up.

The index for ‘Transport, Equipment & Parts’ group rose by 0.6 percent to 139.0 (provisional) from 138.2 (provisional) for the previous month due to higher price of motor cycle / scooter / moped (4%). However, the price of railway brake gear (2%) declined.

FINAL INDEX FOR THE MONTH OF JANUARY, 2016 (BASE YEAR: 2004-05=100)

For the month of January, 2016, the final Wholesale Price Index for ‘All Commodities’ (Base: 2004-05=100) stood at 175.4 as compared to 175.7 (provisional) and annual rate of inflation based on final index stood at -1.07 percent as compared to -0.90 percent (provisional) respectively as reported on 15.02.2016.

Annexure-I

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

						Month of March, 2016
Commodities/Major Groups/Groups/Sub-Groups	Weight	WPI Mar- 2016	Latest month over month			Build up from March		Year on year
			2014-15		2015-16	2014-15	2015-16	2014-15	2015-16
ALL COMMODITIES	100.00000	174.6	0.28		0.34	-2.33	-0.85	-2.33	-0.85
PRIMARY ARTICLES	20.11815	244.1	-0.79		-0.25	-0.17	2.13	-0.17	2.13
Food Articles	14.33709	258.6	-0.56		-0.19	6.27	3.73	6.27	3.73
Cereals	3.37323	236.8	-1.03		0.30	0.00	2.47	0.00	2.47
Rice	1.79348	235.0	-2.30		-0.09	0.65	0.60	0.65	0.60
Wheat	1.11595	222.0	-0.05		0.18	-1.19	3.02	-1.19	3.02
Pulses	0.71662	346.6	0.43		-2.75	13.22	34.45	13.22	34.45
Vegetables	1.73553	211.9	-4.83		-3.77	9.27	-2.26	9.27	-2.26
Potato	0.20150	156.6	-6.90		2.89	-21.50	3.57	-21.50	3.57
Onion	0.17794	273.8	-3.62		-8.55	36.49	-17.65	36.49	-17.65
Fruits	2.10717	238.6	1.25		1.06	12.56	-2.13	12.56	-2.13
Milk	3.23818	253.9	-0.04		0.87	7.48	2.67	7.48	2.67
Egg, Meat & Fish	2.41384	300.8	0.59		0.80	2.62	3.69	2.62	3.69
Non-Food Articles	4.25756	219.0	-1.55		0.50	-6.94	8.09	-6.94	8.09
Fibres	0.87737	206.3	0.83		-1.81	-18.91	6.67	-18.91	6.67
Oil Seeds	1.78051	210.9	0.89		0.43	-1.26	3.18	-1.26	3.18
Minerals	1.52350	178.5	-1.78		-2.46	-29.58	-26.63	-29.58	-26.63
FUEL & POWER	14.91021	172.4	3.75		1.65	-12.23	-8.30	-12.23	-8.30
Liquefied petroleum gas	0.91468	160.1	0.12		-1.23	-7.92	-1.60