Giving a big relief to government who is becoming fail to check the skyrocketing inflation, the official Wholesale Price Index (WPI) provisional data reports that in the month of October the pace of continuously soaring inflation has slightly came down.
According to WPI data, the basket of 576 commodities comprising food grains, food products and basic essential commodities, the rate of inflation fell to 7.45% (provisional) in October 2012 from previous month's 7.81%.
WPI data is a standard tool of measuring inflation in which inflation is measured on the basis of changes in the average price level of goods traded in wholesale market.
In last October it was at 9.87%.
However, this data is not enough pleasant for the common men as still the rate of inflation is extremely high and if the falling of inflation does not begins, it will be a very tough situation for general public.
The build up inflation in the financial year so far was 4.78% while in previous year same was 5.02%, mean moderation in rate of inflation, WPI reports.
The primary article index which has 20.12% weightage in WPI and comprises of food articles, non-food articles and minerals, declines 0.2% as against that of last month index.
The index for 'Food Articles' group declined by 0.1 percent in the comparison of last month's due to falling prices in bajra (6%), fish-marine (5%), urad (4%), arhar, gram, maize and poultry chicken (2% each) and barley and condiments & spices (1% each).
However, the prices of ragi (6%), fish-inland (3 %), moong, coffee and mutton (2% each) and tea, milk and rice (1% each) moved up.
The manufacture product price index, which has the highest weight (64.97%) in WPI, rose by 0.1 as against September's manufacture product price index on the basis of price rise in 'Food Products' group by 0.1%, 'Beverages, Tobacco & Tobacco Products' group by 0.2%, 'Textiles' group by 0.5%, 'Wood & Wood Products' group by 0.4%, 'Rubber & Plastic Products' group by 0.3%, 'Chemicals & Chemical Products' group by 0.2%, 'Non-Metallic Mineral Products' group rose by 0.2%, 'Machinery & Machine Tools' group rose by 0.2%, and 'Transport, Equipment & Parts' group rose by 0.4%.
However, the index for 'Leather & Leather Products' group and index for 'Basic Metals, Alloys & Metal Products' group declined by 0.6% and 0.2% respectively, WPI data reports.
The fuel and power index, which weighs 14.91% in WPI, jumped by 0.8% due swelling the price of high speed diesel (5%) and lpg (1%). However, the prices of bitumen (12%), aviation turbine fuel (5%) and furnace oil and naphtha (3% each) declined, WPI reports.
To grip the soaring inflation, the Reserve Bank of India, has been taken stricter action and did not cut the interest rate which cost to our growth rate and it is expected India may see a growth rate of below 6% as against it's target growth rate of 7.5%.
The falling of inflation is also essential for the United Progressive Alliance (UPA) government, which is eyeing on next Parliamentary election, scheduled in 2014.
|
|
Comments:
