WPI inflation: Wholesale inflation figures for the month of August have been released. In fact, wholesale inflation has declined for the second consecutive month due to the cheapness of vegetables, food items and fuel. Wholesale inflation stood at 1.31 percent in the month of August. This is the lowest level in four months. According to government data, inflation of food items was 3.11 percent in August, while it was 3.45 percent in July. Vegetable prices declined by 10.01 percent in August, while it was 8.93 percent in July.
Potato and onion inflation
Inflation in potato and onion remained high at 77.96 per cent and 65.75 per cent respectively in August. Inflation in the fuel and power category stood at 0.67 per cent in August as against 1.72 per cent in July.
What did the Ministry of Industry say
The Ministry of Industry said in a statement- In August 2024, the prices of manufacturing of food items, processed food products, other manufacturing, textile manufacturing as well as machinery and equipment etc. increased. Let us tell you that retail inflation stood at 3.65 percent in August due to rising prices of vegetables. This is more than 3.60 percent in July.
The Reserve Bank of India (RBI) mainly takes into account retail inflation while formulating monetary policy. In the August monetary policy review, the RBI kept the policy rate unchanged at 6.5 percent for the ninth consecutive time.
