New Delhi: Inflation based on wholesale prices eased to a seven-month low of 2.48 percent in February on cheaper food articles, including vegetables. Wholesale price inflation eased for the third straight month in February.
On the basis of Wholesale Price Index (WPI), inflation was 2.84 percent in January and 5.51 percent in February 2017.
The previous low level was recorded in July at 1.88 percent.
According to a government data released today, inflation in food articles slowed to 0.88 percent in February from 3 percent in the preceding month.
Inflation in vegetables softened with annual inflation at 15.26 percent as against 40.77 percent in January.
While the rate of price rise in onion slowed, it increased in the case of another kitchen essential, potato.
Inflation in pulses remained in the negative zone at (-)24.51 percent and so in cereals and wheat. WPI inflation in protein rich items like egg, fish and meat too was in the negative zone.
As per the data, inflation in ‘fuel and power’ segment too eased to 3.81 percent in February compared to 4.08 percent in the previous month.
The data also showed that the rate of price rise in manufactured items was higher compared to January.
As per the data of Central Statistics Office (CSO), retail inflation measured in term of Consumer Price Index had dropped to a four-month low of 4.44 percent in February on cheaper food articles and lower cost for fuel.
The Reserve Bank of India (RBI), which has kept rates steady since a 25 basis-point cut in August, is widely expected to keep them unchanged at its next policy review on April 5.
The central bank expects retail inflation to pick up to 5.1 percent to 5.6 percent in April-September before easing, assuming normal rainfall.
With Agency Inputs