India's wholesale inflation dips marginally to 9.78% in July

Wholesale inflation eased marginally to 9.78% in July from 9.87% in June, even as prices of primary articles and manufactured products rose, according to government data released on Friday.

The government said mineral oils, food articles, basic metals, non-food articles, food products and chemicals were among the major drivers of wholesale price inflation in July.

Inflation in fuel and power fell sharply to 20.05% in July from 27.41% in June, while inflation in primary articles rose to 8.52% from 7.0%.

Inflation in manufactured products increased to 8.29% from 7.48%.

The Food Index, which has a weight of 24.99% in WPI and comprises food articles from primary articles and manufactured food products, recorded inflation of 6.65% in July, up from 6.14% in June.

The overall WPI index declined marginally to 110 in July from 110.2 in June.

Within primary articles, inflation in food articles rose alongside a pickup in non-food articles and minerals. The index for primary articles increased to 117.2 in July from 116.1 in June.

The government also revised upwards its final WPI inflation reading for May to 9.88% from the provisional estimate of 9.68%.

The WPI index for May was revised to 110.1 from 109.9.

Data released earlier this week showed India's retail inflation rose to 4.45% in July from 4.38% in June, on high food prices.

The Reserve Bank's monetary policy committee, earlier this month, kept benchmark policy rates unchanged at 5.25% and projected retail inflation at 5% for FY27, citing deficient and uneven south-west monsoon amidst El Niño conditions.