Wholesale Price Index Falls Further
The wholesale price index (WPI)-based inflation fell for the 14th straight month in December, dropping 0.73% compared to 1.99% in November. It was way back in 1975-76 that there was WPI-based deflation for a full year. The index showed inflation in October 2014, at 1.66%. Government data showed that total build up in the inflation for the current financial year leading up to December was 0.74% as compared to a 0.89% fall in the corresponding period of the previous year.
The price pressure points remained, particularly in food articles. Pulses continued to rise by 55.64%, although inflation mellowed from the 58% rise witnessed in October. Inflation in onions also remained elevated at 25.98%, though the rate of inflation has steadily shown a downward trend registering 85% in October and 53% in November. These two constituted the highest rise in inflation among all commodities.