WPI inflation spikes to record high of 15.08% in April

Rise in prices of oil, metals, petroleum products and food products among other commodities have raised the wholesale price-based inflation to a record high of 15.08 per cent in April.

WPI shows the changes in the average rates of goods at the wholesale level.

While the WPI-based inflation was 14.55 per cent in March, it was 10.74 per cent in April last year.

“The high rate of inflation in April 2022 was primarily due to rise in prices of mineral oils, basic metals, crude petroleum and natural gas, food articles, non-food articles, food products and chemicals and chemical products etc. as compared to the corresponding month of the previous year,” the Commerce and Industry ministry said in a statement.

The WPI inflation has remained in double digit for the 13th consecutive month since April last year.

Inflation in food articles was 8.35 per cent, as prices of vegetables, wheat, fruits and potato witnessed sharp spike over the year-ago period.

In the fuel and power basket, inflation was 38.66 per cent, while in manufactured products and oil seeds, it was 10.85 per cent and 16.10 per cent, respectively.

Inflation in crude petroleum and natural gas was 69.07 per cent in April.

Retail inflation rose to a near eight-year high of 7.79 per cent in April, remaining above the Reserve Bank of India’s inflation target for the fourth straight month.

To tame stubbornly high inflation, the RBI earlier this month hiked its key interest rate by 0.40 per cent and cash reserve ratio by 0.50 per cent in a surprise move.

(With inputs from agencies)