Wholesale Price Index (WPI)-based inflation fell in September 2021 to 10.66 per cent from 11.39 per cent in August 2021, monthly data released by the Commerce Ministry on Thursday showed. The wholesale inflation eased today as a result of a slide in prices of primary articles, fuel and power as well as food. 

The WPI inflation was at a six-month low in September 2021 but at the same time, remained in double digits for the sixth straight month.  

Besides, compared to the wholesale inflation rate of 1.32 per cent in September 2020, the 10.66 per cent rate for September 2021 is an almost 10 times increase and mainly due to rise in prices of mineral oils, basic meals, non-food articles, food products, crude petroleum as well as chemical products.

In September 2021, the monthly fall in WPI inflation was led by decline in the index of primary articles group, which was 154.9 in September 2021 compared to 155.8 for August 2021. 

Under this group, prices of crude petroleum and natural gas, minerals and food articles declined during September 2021 over August 2021. Overall, the WPI inflation for primary articles declined by 4.1 per cent in September 2021 compared to 6.2 per cent in August 2021. 

Similarly the index for fuel and power fell to 114.7 in September 2021 compared to 116 of August 2021. Under this index, prices of mineral oils declined, while those of coal and electricity remained unchanged.

The overall WPI inflation for fuel and power fell by 24.8 per cent in September 2021 compared to 26 per cent in August 2021. 

The WPI-based inflation for food index also fell by 1.14 per cent in September 2021 from 3.4 per cent in August 2021. 

WPI inflation for manufactured products rose slightly in September 2021 by 11.41 per cent from 11.39 per cent in August 2021.