Inflation plunges down to 4.52 per cent

New Delhi, July 30 (UNI) The annual rate of inflation for the week ended July 15, declined to 4.52 per cent as compared to 4.68 per cent last week, due to lower manufactured product prices.

The inflation rate, calculated on point-to-point basis, stood at 4.45 per cent during the corresponding week of the previous year, according to official figures released here.

The Wholesale Price Index (WPI) for all commodities for the week ended July 15, rose by 0.1 per cent to 203.7 from 203.6 for the previous week.

After the Reserve Bank of India raised the short-term interest rates by 25 basis points to 6 per cent, to ensure price stability, Finance Minister P Chidambaram asserted the government would take further fiscal measures if needed to check the price rise.

The RBI estimated that at the end of this financial year inflation rate will be contained in a 5.0-5.5 per cent range.

The index for the Primary Articles group rose by 0.3 per cent to 202.7 from 202.0 for the previous week.

The index for Food Articles group rose by 0.2 per cent 203.6 from 203.2 for the previous week due to higher prices of jowar (2 per cent), and fruits and vegetables and gram (1 per cent each).

However, the prices of tea (4 per cent), moong (3 per cent) and maize, masur and urad (2 per cent each) declined.

The index for Non-Food Articles group rose by 0.4 per cent to 184.6 from 183.9 for the previous week due to higher prices of sunflower (6 per cent), niger seed (3 per cent) and soyabean, castor seed, raw cotton and groundnut seed (1 per cent each).

However, the prices of rape and mustard seed (2 per cent) and tobacco and cotton seed (1 per cent each) declined.

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