India’s wholesale prices fall for 17th straight month in March
India’s wholesale prices fell for a 17th straight month in March, declining by an annual 0.85 percent, driven down by tumbling prices of oil and manufactured goods, government data showed on Monday.business Updated: Apr 18, 2016 13:09 IST
India’s wholesale prices fell for a 17th straight month in March, declining by an annual 0.85 percent, driven down by tumbling prices of oil and manufactured goods, government data showed on Monday.
The pace of fall was faster than a 0.77 percent annual decline forecast by economists in a Reuters poll. In February, the index fell a provisional 0.91 percent.
Food prices last month gained 3.73 percent year-on-year, compared with a provisional 3.35 percent gain in February.
Onion and fruits saw easing of prices, with these sub-indices falling by 17.65 per cent and 2.13 per cent, respectively.
Wholesale fuel prices dropped 8.30 percent from a year ago in March, while prices of manufactured goods declined 0.13 percent year on year.
The January wholesale price index (WPI)inflation has been revised lower to (-)1.07 per cent from the provisional estimate of (-)0.90 per cent.
The Reserve Bank mainly looks at retail inflation data while firming up its monetary policy stance. Retail inflation in March fell to a six-month low of 4.83 per cent.
RBI earlier this month cut the key policy rate by 0.25 per cent and projected retail inflation to be around 5 per cent this fiscal.
It had said there were uncertainties over unseasonal rains. Though the Met department later forecast an above-normal monsoon for this year.