India April Wholesale Inflation Slows to 3.07%

Wholesale prices in India rose by 3.07 percent year-on-year in April 2019, following a 3.18 percent gain in the previous month and matching market expectations. Cost slowed for both fuel and manufactured products.

In April, cost of fuel & power increased at a slower rate (3.84 percent vs 5.41 percent in March). Also, manufactured products inflation eased to 1.72 percent from 2.16 percent, as prices rose less for basic metals (0.18 percent vs 1.28 percent), chemical & chemical products (2.92 percent vs 3.64 percent), textiles (3.92 percent vs 3.94 percent), rubber and plastics (1.66 percent vs 2.14 percent), and wood and of products of wood and cork (1.21 percent vs 3.27 percent).  

Meanwhile, cost of primary articles rose by 6.5 percent, faster than a 5.07 percent gain in March, with prices of food articles rising further (7.37 percent vs 5.68 percent in March), mainly driven by vegetables (40.65 percent vs 28.13 percent), pulses or grain legumes (14.32 percent vs 10.63 percent), cereals (8.43 percent vs 8.92 percent); wheat (7.52 percent vs 10.13 percent), and milk (1.49 percent vs 1.78 percent). However, there were declines in prices of potato (-17.15 percent vs 1.30 percent), onion (-3.43 percent vs -31.34 percent) and fruits (-6.88 percent vs -7.62 percent).

On a monthly basis, wholesale prices increased by 0.8 percent in April, much faster than a 0.42 percent gain in March.

India April Wholesale Inflation Slows to 3.07%

Office of the Economic Advisor l Rida Husna |
5/14/2019 7:27:00 AM