India’s Wholesale Inflation Eases More-Than-Expected To 3.8% In December

Inflation based on wholesale prices moderated to an eight-month low in December, led by a fall in fuel prices.

Wholesale inflation fell to 3.8 percent in December compared to 4.64 percent in the previous month, according to data from the Ministry of Commerce. Wholesale Price Inflation, which tracks changes in the price of goods in stages before the retail level, was estimated at 4.5 percent for December by a Bloomberg poll of 24 economists.

Wholesale Inflation For Major Commodities:

• Primary articles inflation rose by 2.28 percent compared to 0.88 percent in November.
• The food articles index fell 0.07 percent over last year compared to a contraction of 0.33 percent in the previous month.
• Fuel and power inflation was at 8.38 percent against 16.28 percent in November.
• Manufactured products inflation declined to 3.59 percent after rising at 4.21 percent in November.

Prices of vegetables continued to fall, falling 17.55 percent in the reporting month compared with a fall of 26.98 percent in November.