Wholesale price index (WPI) inflation for the month of July soared to a two-year high of 3.55% versus 1.62% in June.
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India’s wholesale prices rose at a faster-than-expected pace in July, gaining 3.55 percent from a year earlier on higher food prices, government data showed on Tuesday. In July 2015, WPI inflation was (-) 4.00 per cent. It comes after headline consumer prices hit their highest level since September 2014 in July.
Wholesale inflation has risen on the back of dearer food and vegetable prices in the country.
Potato, a daily consumable vegetable, saw the price rise during the month at 58.78 per cent. All items, barring onion, in the basket showed a rising price pressure.
Manufactured products inflation was at 1.82% compared to 1.77% in June.
However, deflationary trend continued in some items like onion at (-) 36.29 per cent and petrol at (-) 10.30 per cent.
May WPI inflation has been revised to 1.24 percent from 0.79 percent.
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In his last monetary policy review last week, RBI governor Raghuram Rajan left key policy rates unchanged, flagging upside risks to the inflation target.
