WPI inflation at 7.52%, rate hike looks certain
17 Dec 2013 6:44 AM IST
Food items, especially potatoes and onions, became costlier, strengthening the case for the Reserve Bank of India (RBI), the country’s central bank, to hike the key interest rate for the third time in a row at its mid- quarterly monetary policy review on Tuesday.
WPI inflation, which is at its highest level since touching 8.1 per cent in September 2012, was 7 per cent in October. The price rise in the food segment comprising wheat, pulses, vegetables and milk among others, was at an almost four-year high of 19.93 per cent. It was at 18.19 per cent in October.
Last week the Government announced that retail inflation, as measured by the consumer price index (CPI), had jumped to 11.24 per cent. The RBI is expected to take into account the rising inflation and declining industrial output data in its policy review.
As per the data, potato prices shot up by 26.71 per cent in November compared with a contraction in the previous month. Onions, too, were costly although the price rise eased from October. Onion inflation was at 190.34 per cent in November.
The data showed protein-rich items such as eggs, meat and fish were costlier by 15.19 per cent while milk was dearer by 6.25 per cent.
WPI inflation, which is at its highest level since touching 8.1 per cent in September 2012, was 7 per cent in October. The price rise in the food segment comprising wheat, pulses, vegetables and milk among others, was at an almost four-year high of 19.93 per cent. It was at 18.19 per cent in October.
Last week the Government announced that retail inflation, as measured by the consumer price index (CPI), had jumped to 11.24 per cent. The RBI is expected to take into account the rising inflation and declining industrial output data in its policy review.
As per the data, potato prices shot up by 26.71 per cent in November compared with a contraction in the previous month. Onions, too, were costly although the price rise eased from October. Onion inflation was at 190.34 per cent in November.
The data showed protein-rich items such as eggs, meat and fish were costlier by 15.19 per cent while milk was dearer by 6.25 per cent.
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