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WHOLESALE INFLATION CONTINUES TO DECLINE, FOOD PRICES SOAR TO 62%
The Business Guardian
|August 15, 2023
Reserve Bank of India (RBI) maintained a 6.5 per cent interest rate, it hinted at tighter policies if food prices continued to escalate
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Wholesale price inflation persisted in the negative territory for the fourth consecutive month in July, reaching (-)1.36 per cent. However, this was coupled with a significant surge in food prices, particularly vegetables, which skyrocketed by 62.12 per cent. While this marks an increase from June’s (-)4.12 percent, the inflation rate was notably higher in July last year at 14.07 per cent. Food articles’ inflation rose to 14.25 per cent in July, compared to 1.32 per cent in June. Factors such as falling prices of mineral oils, basic metals, chemicals, textiles, and food products contributed to the decline in inflation. The rise in global crude oil and edible oil prices, along with uneven domestic monsoons, pose potential risks. Despite this, experts predict subdued WPI inflation for the fiscal year (1-2 percent), benefiting retail inflation.
Dit verhaal komt uit de August 15, 2023-editie van The Business Guardian.
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