WPI inflation shrinks by 3.21 per cent in May

India's inflation based on wholesale price index (WPI) contracted by 3.21 per cent in May as compared to 2.79 per cent during the corresponding month of the previous year. Since the information available for the month of April 2020 is limited, the provisional figures of May 2020 have been compared with the final figures of March 2020.

Component-wise, primary articles index having weight of 22.62 per cent, dropped by 0.87 per cent to 136.2 (provisional) in May 2020 from 137.4 (final) in March 2020. Among the primary articles, prices of food articles rose while prices of crude petroleum & natural gas and non-food articles declined as compared to March 2020.

Having a weight of 13.15 per cent, fuel & power index dipped by 15.88 per cent to 83.7 (provisional) in May 2020 from 99.5 (final) in March 2020. Prices of mineral oils group decreased compared to March 2020 while the prices of coal and electricity remained intact.

Manufactured products, a major constituent of the index with a weight of 64.23 per cent, declined by 0.42 per cent to 118.1 (provisional) in May 2020 from 118.6 (final) in March 2020. Among these, the groups that witnessed a fall in prices as against the prices in March 2020 were manufacture of food products, textiles, chemicals and chemical products, rubber and plastics products, printing and reproduction of recorded media, manufacture of basic metals, fabricated metal products except machinery and equipment, electronic and optical products, computer, electrical equipment, machinery and equipment.