Wholesale inflation declines to 0.13 per cent in September:Food beverage items get cheaper; August WPI-based inflation had stood at 0.52 per cent

Wholesale inflation has decreased to 0.13% in September. Inflation has decreased due to lower food prices. Earlier in August, wholesale inflation was 0.52%. The Commerce Ministry released wholesale inflation figures today on October 14. Food items became cheaper Three components of wholesale inflation The weightage of primary articles is 22.62%. Fuel and power has a weightage of 13.15% and manufactured products have the highest weightage at 64.23%. Primary articles are divided into four parts… Impact of Wholesale Price Index on Common People When wholesale inflation remains high for a long time, it negatively affects most productive sectors. If wholesale prices stay at high levels for too long, producers pass this burden onto consumers. The government can only control WPI through taxes. For example, when crude oil prices increased sharply, the government reduced excise duty on fuel. However, the government can only reduce taxes within certain limits. WPI has higher weightage for factory-related items like metals, chemicals, plastics, rubber. How is wholesale inflation measured? There are two types of inflation in India. One is retail and the other is wholesale inflation. Wholesale Price Index (WPI) refers to the prices that one trader charges from another trader in the wholesale market. Different items are included to measure inflation. ​