Wholesale inflation dips to 0.13% in Sep on easing food, fuel prices

India’s wholesale inflation eased in September after a sharp rise in the previous month, helped by a decline in food and fuel prices, provisional data from the commerce and industry ministry showed on Tuesday.

- Rhik Kundu

The wholesale price index (WPI)-based inflation fell to 0.13% in September, from 0.52% in August, after staying in negative territory in July -0.58% and Jume-0,19%, Economists polled by Reuters had projected the WPI to rise 0.50% year-on-year in September. A year earlier, WPI inflation stood at 1.91%.

Food inflation, a key driver of the index, turned negative at -1.99% in September, compared with 0.21% in August, -2.15% in July, and -0.26% in June. The fall in September was led by lower prices of vegetables, wheat, pulses, and oilseeds. Prices of cereals and paddy also fell from August.