Inflation up at 5.43 per cent

New Delhi, Dec 31: The annual inflation rate further rose to 5.43per cent for the week ended December 16 from 5.32 per cent the previousweek, owing to an increase in manufactured product prices.

The inflation rate calculated on a point-to-point basis, stood at4.62 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 weekended December 16, rose by 0.05 per cent to 207.8 from 207.7 for theprevious week.

The Reserve bank of India has increased the cash requirement intwo 25-basis point stages, on December 23 and January 6, to contain theinflation rate by targeting the surplus funds in the banking system. Inresponse, the banks have also raised their lending rates by 150 to 200basis points this year to protect their net interest margins.

The index for the Primary Articles group declined by 0.1 per cent to 211.8 from 212.1 for the previous week.

The index for Food Articles group declined by 0.1 per cent to213.8 from 214.1 for the previous week due to lower prices of fruitsand vegetables and eggs (2 per cent).

However, the prices of bajra (3 per cent), and barley, wheat, arhar and jowar (1 per cent each) moved up.

The index for Non-Food Articles group declined by 0.1 per cent to189.8 from 190.0 for the previous week due to lower prices of soyabean(2 per cent), raw silk (1 per cent).

However, the prices of rape and mustard seed (1 per cent) moved up.

The index for Fuel, Power, Light and Lubricants group remainedunchanged at its previous week's level of 322.6 The index for theManufactured Products group rose by 0.2 per cent to 180.8 from 180.5for the previous week. The index for Food Products group rose by 0.2per cent to 184.5 from 185.1 for the previous week due to higher pricesof unblended black tea leaf gr (23 per cent), salt (3 per cent), andgur (1 per cent).

However, the prices of processed tea (8 per cent), rape andmustard oil, sugar, imported edible oil, rice bran oil and gingelly oil(1 per cent each declined).

The index for Textiles group declined by 0.1 per cent to 131.9from 132.0 for the previous week due to lower prices of other cottonyarn (1 per cent).

The index for Paper and Paper Products group rose by 0.1 per centto 192.2 from 192.1 for the previous week due to marginal increase inthe prices of white printing paper.

The index for Rubber and Plastic Products group declined by 0.2per cent to 151.9 from 152.2 for the previous week due to lower pricesof rubber chappal (13 per cent).

However, the prices of canvas footwear (8 per cent) and decorative laminates (7 per cent) moved up.

The index for Chemicals and Chemical Products group rose by 0.1per cent to 194.2 from 194.1 for the previous week due to higher pricesof soda ash (sodium carbonate) and antibiotics (3 per cent each).

However, the price of liquid injectibles other than vitamins and varnishes (1 per cent each) declined.

The index for Non-Metallic Mineral Products group declined by 0.1per cent to 192.3 from 192.5 for the previous week due to marginaldecline in the prices of cement.

The index for Basic Metal Alloys and Metal Products group rose by0.4 per cent to 239.6 from 238.6 for the previous week due to higherprices of copper bars and rods (12 per cent), and foundary pig iron,chains and ms bars and rounds (1 per cent each).

The index for Machinery and Machine Tools group rose by 0.4 percent to 158.1 from 157.4 for the previous week due to higher prices ofpvc insulated cables (9 per cent).

UNI