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India's Weekly Food Inflation Inches Up

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India's food inflation, as measured by the wholesale price index or WPI for the week ended February 6, rose for a fourth consecutive week to 17.97%, slightly up from 17.94% in the previous week, due to the higher prices of pulses, potatoes, vegetables, wheat, onion, milk, and cereals. Rate of inflation was 9.82% in the corresponding week in the preceding year.

The 52-week average inflation for the week ended February 6 was 13.14%, data released by the Ministry of Commerce and Industry show.

Rate of inflation for the 'Non-Food Articles' category for the week under review was 13.15%, up from 11.32% a week ago. Rate of inflation was 3.22% in the corresponding week in the preceding year. The 52-week average inflation for the week ended February 6 was 1.90%.

Primary articles

They indicate the index for this group, with a weightage of 22.02%, rose by 0.21% from the preceding week.

Among the sub-groups, index for the 'Food Articles' category increased by 0.07% due to the higher prices of moong, poultry chicken, fish-marine, barley as also wheat. However, those of urad, arhar, eggs, gram, fish-inland and masur declined. The rate of inflation was 0.04% for the corresponding week of the preceding year.

The index for the 'Non-Food Articles' group increased by 0.67% due to the higher prices of groundnut seed, niger seed and raw rubber, while those of tobacco, raw cotton, whereas those of tobacco, raw cotton and mesta declined. The rate of inflation was minus 0.96% for the corresponding week of the preceding year.

The annual rate of inflation for the week ended February 6 was 16.23%, higher than the 7.05% for the corresponding week in the preceding year and 15.75% for the last week. The 52-week average inflation for the week under review was 9.19%, the data show.

Fuel, Power, Light & Lubricants

The index for this major group, with a weightage of 14.23%, for the week under review rose by 0.03% due to increase in the prices of naphtha and aviation turbine fuel. However, the prices of bitumen and furnace oil declined.

Annual rate of inflation for this category was 9.89%, compared to the minus 3.03% for the corresponding week in the preceding year, and 10.44% for the previous week. The 52-week average inflation for the week ended February 6 was minus 4.62%.

Finance Minister Pranab Mukherjee said Wednesday in New Delhi that the surge in inflation was a matter of concern. He, however, exuded confidence that food prices would ease in the next few months.

(Market News Provided by RTTNews)

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