India's wholesale inflation rises to 2.13% in February on higher manufacturing prices

India’s wholesale price inflation rose to 2.13% in February, provisional government data showed on Monday.

The annual inflation on the Wholesale Price Index (WPI) stood at 1.81% in January and 0.96% in December, according to data released by the commerce ministry.

The increase in February inflation was largely due to higher prices in manufactured products, basic metals, textiles, non-food articles and other manufacturing sectors, the ministry said.

Among the major components, primary articles’ inflation stood at 3.27% in February, while prices in the fuel and power category remained in contraction at (-)3.78% year-on-year.

Inflation in manufactured products, which account for about 64% of the WPI basket, rose 2.92% year-on-year in February, compared with 2.86% in January.

On a month-on-month basis, the WPI rose 0.25% in February, following a 0.38% increase in January.

The manufactured products segment recorded a 0.47% increase, with the index rising from 147.5 in January to 148.2 in February.

Out of the 22 two-digit industry groups under manufactured products, 16 groups saw a rise in prices while five recorded a decline.

Among the major groups registering an increase were other manufacturing, manufacture of food products, textiles, electrical equipment and chemical and chemical products. Prices declined in segments such as basic metals, computer, electronic and optical products, fabricated metal products, wood products and leather-related products, the ministry said.

The fuel and power index increased 1.17% to 147.6 in February from 145.9 in January, led by a 2.05% rise in mineral oil prices.

The WPI food index slipped to 192.9 in February from 194.2 in January, but food inflation based on the index rose to 1.85% year-on-year.

The data released last week showed India’s retail inflation, measured by the Consumer Price Index, rose to 3.21% in February from 2.74% in January.

The government will release wholesale inflation data for March on April 14, the commerce ministry said.