Wholesale price-based inflation rose to a file excessive of 15.88 per cent in May on rising costs of meals objects and crude oil. The Wholesale Price Index-based inflation was 15.08 per cent in April and 13.11 per cent in May final yr. “The high rate of inflation in May, 2022 is primarily due to rise in prices of mineral oils, crude petroleum & natural gas, food articles, basic metals, non-food articles, chemicals & chemical products and food products etc. as compared to the corresponding month of the previous year,” the commerce and business ministry mentioned in a press release.
The WPI inflation has remained in double digit for the 14th consecutive month since April final yr and has been within the higher trajectory for 3 straight months. Inflation in meals articles in May was 12.34 per cent, as costs of greens, wheat, fruits and potato witnessed sharp spike over the year-ago interval.
The price of value rise in greens was 56.36 per cent, whereas in wheat it was 10.55 per cent and in egg, meat and fish, inflation was 7.78 per cent.In the gas and energy basket, inflation was 40.62 per cent, whereas in manufactured merchandise and oil seeds, it was 10.11 per cent and seven.08 per cent, respectively.
Inflation in crude petroleum and pure fuel was 79.50 per cent in May. Retail inflation in May was 7.04 per cent, remaining above the Reserve Bank’s inflation goal for the fifth straight month.To tame stubbornly excessive inflation, the RBI hiked its key rate of interest by 40 foundation factors in May and 50 foundation factors in June.The central financial institution, final week, additionally raised inflation projection by 100 foundation factors to six.7 per cent for 2022-23.
Source: www.financialexpress.com”