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HomeEconomyWholesale price index falls 0.52% in August y/y, says govt data

Wholesale price index falls 0.52% in August y/y, says govt data

Data shows retail inflation eased in August as food prices moderated, but remained above upper end of RBI’s target band for a 2nd consecutive month, keeping policymakers watchful.

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New Delhi: India’s wholesale price index fell 0.52% in August from a year earlier, according to government data released on Thursday.

Economists polled by Reuters had estimated the wholesale price index for August would fall 0.6%. It fell 1.36% in July.

In August, fuel and power prices fell 6.03% from a year earlier, compared with a fall of 12.79% in July, and prices of primary articles rose 6.34% versus a rise of 7.57%.

Food prices rose 5.62% year-on-year, compared with a sharp rise of 7.75% in July, and manufactured product prices fell 2.37% in August, against a 2.51% fall the previous month.

On Tuesday, data showed India’s retail inflation eased in August as food prices moderated, but remained above the upper end of the central bank’s target band for a second consecutive month, keeping policymakers watchful.

Earlier this month, Reserve Bank of India (RBI) Governor Shaktikanta Das said India’s monetary policy committee would remain watchful of the evolving inflation situation, but the recent spikes in vegetable prices would start to ebb.

(Reporting by Nikunj Ohri; Writing by Shivangi Acharya; Editing by Jacqueline Wong and Sharon Singleton)

Disclaimer: This report is auto generated from the Reuters news service. ThePrint holds no responsibilty for its content.


Also read: India discounts widest in seven weeks, China premiums bounce back


 

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