The prices of greens pushed the WPI inflation up in December. File
| Photo Credit: Reuters
The wholesale value index (WPI)-based inflation rose in December at 0.73% primarily due to a pointy rise in food prices. The WPI inflation was in the damaging zone from April to October and had turned constructive in November at 0.26%.
“Positive rate of inflation in December 2023 is primarily due to the increase in prices of food articles, machinery & equipment, other manufacturing, other transport equipment and computer, electronics & optical products etc,” the Commerce and Industry Ministry mentioned in an announcement on January 15. Food inflation rose to 9.38% in December from 8.18% in November 2023.
Inflation in greens was 26.30%, whereas in pulses it was 19.60% in December. Retail or client price-based inflation (CPI) print for December rose to a 4-month excessive of 5.69%, as per knowledge launched final week.
The Reserve Bank in its bi-monthly financial coverage final month held rates of interest regular and flagged dangers of rising food inflation in November and December.
