Inflation plunges to 5-year low at 2.97 pc

Subscribe to Oneindia News

New Delhi, Nov 11: Decline in the prices of food articles and minerals brought down the inflation to a five-year low at 2.97 per cent for the week ended October 27.

However, the rising crude prices which touched an all-time high above 98 dollar a barrel yesterday poses a risk to inflation.

The Reserve Bank of India (RBI) had said it is imperative to pass on some of the increases in global crude prices to domestic consumers.

The wholesale price-based index stood at 3.02 per cent in the previous week, and 5.35 per cent in the same week last year, an official statement said.

Inflation has been way below RBI's projection of 5 per cent for this fiscal and even its target of 4-4.5 per cent in the medium term.

The wholesale price index (WPI) for 'All Commodities' for the week ended October 27, remained unchanged at its previous week level 215.1 (Provisional).

The index for primary food articles declined by 0.2 per cent to 224.5 from 225.0 (Provisional) for the previous week.

The index for 'Food Articles' group rose by 0.3 per cent to 224.4 (Provisional) from 225.0 (Provisional) for the previous week due to lower prices of fruits and vegetables and moong (three per cent each), urad (two per cent), jowar and pork (one per cent each).

However, the prices of fish-marine and poultry chicken (two per cent each) and wheat, eggs, bajra, milk, gram and barley (one per cent each) moved up.

The index for 'Minerals' group declined by 1.2 per cent to 424.7 (Provisional) from 429.8 (Provisional) for the previous week due to lower prices of magnesite (77 per cent), chromite (32 per cent), fire clay (six per cent ), vermiculite (two per cent) and phosphorite and barytes (one per cent each).

However, the prices of fluorite (15 per cent) and stealite (nine per cent) moved up.

The index for 'Fuel, Power, Light and Lubricants' remained unchanged at its previous week's level of 323.7 (Provisional).

The index for manufactured products group rose by 0.1 per cent to 187.6 (Provisional) from 187.4 (Provisional) for the previous week. The index for 'Food Products' group rose by 0.3 per cent to 189.6 (Provisional) from 189.0 (Provisional) for the previous week due to higher prices of sunflower oil (three per cent), atta, maida and rice bran oil (two per cent each) and imported edible oil, sooji (rawa) and hydrogenated vanaspati (one per cent each).

However, the prices of gur (one per cent each) declined.

The index for 'Paper and Paper products' group declined by 0.2 per cent to 194.8 (Provisional) from 195.2 (Provisional) for the previous week due to lower prices of newsprint and printing paper white (one per cent each).

The index for 'Basic Metals Alloys and Metal Products' group rose by 0.1 per cent to 247.1 (Provisional) from 246.9 (Provisional) for the previous week due to higher prices of forging (28 per cent).

However, the prices of zinc ingots (three per cent) and lead ingots (two per cent) declined.

The index for 'Machinery and Machine Tools' group rose by 0.1 per cent to 167.0 (Provisional) from 166.8 (Provisional) for the previous week due to higher prices of dry cell (three per cent) and enamelled copper wires (one per cent).

UNI

Please Wait while comments are loading...