New Delhi14 minutes ago
- Copy link
Manufactured products stake in wholesale inflation 63.75%, Primary Article share 22.62%
Wholesale inflation has come down to 2.05% in the month of March. This is a 4 -month low. Earlier in February, inflation was 2.38%. Inflation has decreased due to decrease in the prices of daily goods. The Ministry of Commerce and Industry released these figures today i.e. on 15 April.
Manufactured products in wholesale inflation have 63.75%, food such as primary article is 22.62% and fuel and power holds 13.15%. That is, manufactured products are the biggest impact on inflation above inflation.
Everyday items, food items became cheaper
- Inflation of daily items decreased from 2.81% to 0.76%.
- Inflation of food and drink declined from 5.94% to 4.66%.
- The wholesale inflation rate of fuel and power increased from 0.71% to 0.20%.
- The wholesale inflation rate of manufacturing products increased from 2.86% to 3.07%.
Wholesale Price Index (WPI) has an impact on common man
It has a bad effect on most of the productive sectors due to prolonged wholesale inflation. If the wholesale price remains at a high level for a long time, then the producers put its burden on the consumers. The government can only control WPI through tax.
For example, in the event of a sharp increase in crude oil, the government had cut excise duty on fuel. However, the government can reduce tax deduction within a limit itself. WPI contains more weightage of metal, chemical, plastic, rubber.
Three parts of wholesale inflation
Primary article, whose weightage is 22.62%. Fuel and power weightage is 13.15% and manufactured product weightage is the highest 64.23%. There are also four parts of the primary article.
- Food articles like grains, wheat, vegetables
- Oil seeds come in non -food article
- Minerals
- Crude petroleum
How is inflation measured?
There are two types of inflation in India. One is retail means retail and the other is the wholesale inflation. Retail inflation is based on prices paid by common customers. It is also called Consumer Price Index (CPI). At the same time, the wholesale Price Index (WPI) means the prices that charge a businessman in the wholesale market from another businessman.
Different items are included to measure inflation. Such as manufactured products in wholesale inflation are 63.75%, primary article such as food 22.62% and fuel and power is 13.15%. At the same time, food and product participation in retail inflation, 45.86%, 10.07% of housing and other items are also involved.
