New Delhi, January 16
Wholesale price-based inflation (WPI) declined to a 22-month low of 4.95% in December 2022, mainly due to fall in prices of food articles, especially vegetables, and oilseeds. WPI-based inflation was 5.85% in November 2022 and 14.27% in December 2021. The last low level of WPI inflation was recorded in February 2021 at 4.83%.
The impact of sharply falling prices of vegetables and onions led to a substantial cooling of the inflation rate for food articles with a deceleration of (-) 1.25%. Wholesale inflation in vegetables declined by 35.95% and in onion by 25.97% but wheat, pulses and potato remained dear as did milk and eggs, meat and fish.
In non-food articles, oilseeds and minerals saw a decline in inflation rate by 4.81% and 2.93%, respectively.
“The decline in the rate of inflation in December 2022 is primarily contributed by fall in prices of food articles, mineral oils, crude petroleum and natural gas, food products, textiles and chemicals and chemical products,” said a Commerce Ministry statement.
Dip in vegetable prices main factor
- The WPI-based inflation was 5.85% in November 2022 and 14.27% in December 2021
- Declining vegetable prices and onions pulled down inflation in food articles to (-) 1.25%
- Wholesale inflation in veggies declined 35.95%, and onion by 25.97%