Wholesale inflation back in positive zone after seven months, at 0.26 pc in Nov

Wholesale price-based inflation rose at the fastest pace in eight months at 0.26 per cent in November mainly due to a sharp rise in food prices.

The WPI inflation was in the negative zone for the past seven months and was at (-) 0.52 per cent in October.

”Positive rate of inflation in November, 2023 is primarily due to increase in prices of food articles, minerals, machinery & equipment, computer, electronics & optical products, motor vehicles, other transport equipment and other manufacturing etc,” the Commerce and Industry Ministry said in a statement.

Food inflation rose to 8.18 per cent in November, from 2.53 per cent in October.

Official data released earlier this week showed retail or consumer price based inflation rising at its fastest pace in three months at 5.55 per cent in November, driven by spike in food prices.

The Reserve Bank in its bi-monthly monetary policy last week, held interest rates steady and flagged risks of rising food inflation in November and December.