India WPI Deflation Worsens in April


Indian wholesale prices fell 2.65 percent year-on-year in April of 2015, following a 2.33 percent drop in the previous month, as petrol prices declined further while food cost slowed. The index has been in the negative territory since November 2014.

Year-on-year, petrol prices fell 18.44 percent, following a 17.70 percent drop in the previous month and cost of diesel decreased by 14.39 percent, following a 12.11 percent fall in March.

Food prices rose 5.73 percent, slowing from a 6.31 percent increase in March. Among food prices, onion recorded the highest increase (+29.97 percent), followed by pulses (+15.38 percent), fruits (+14.22 percent); milk (+7.42 percent); egg, meat & fish (+4.01 percent); wheat (+1.79 percent) and cereals (+0.39 percent). In contrast, prices fell for potato (-41.14 percent), minerals (-28.65 percent), fibres (-13.81 percent), non-food articles (-6.18 percent), oil seeds (-1.80 percent), vegetables (-1.32 percent) and rice (-0.04 percent).

In April, cost of manufactured products declined by 0.52 percent from a 0.19 percent drop in the previous month.

On a monthly basis, wholesale prices declined 0.1 percent, following a  0.2 percent increase in March.

Office of the Economic Adviser l Rida Husna l rida@tradingeconomics.com
5/14/2015 8:53:29 AM