India’s wholesale price index inflation climbed to 2.36% in October 2024, marking an increase from the 1.84% recorded in September. The rise in inflation is largely attributed to escalating prices in key sectors such as food items, manufacturing, machinery, and motor vehicles. The WPI index for this month reached 156.1, with manufacturing products seeing an uptick to 142.5. Notably, the index for primary articles rose by 2.35%, while fuel and power saw a slight decline of 0.27%.
According to the Ministry of Commerce and Industry, October’s inflation rate reflects a notable shift from the previous month, due to heightened costs in various sectors including food production and machinery. The provisional annual inflation rate, based on the all-India wholesale price index figures for October 2024 compared to October 2023, stands at 2.36%, indicating a significant increase from last month’s data.
In terms of the month-to-month comparison, the WPI for October 2024 displayed a growth of 0.97% compared to September 2024. The manufacturing product index, which holds a weight of 64.23%, advanced to 142.5, up from 141.8 in the prior month. More specifically, the ‘Manufacture of Textiles’ category experienced a marginal rise, increasing from 135.8 to 135.9, while the ‘Manufacture of Wearing Apparel’ sector improved slightly from 153.5 to 153.9.
The index for primary articles, which constitutes 22.62% of the WPI, saw a 2.35% jump, moving to 200.3 in October from 195.7 in September. On the other hand, the fuel and power index, which carries a weight of 13.15%, fell by 0.27%, lowering from 146.9 to 146.5.
The Office of the Economic Adviser noted that the rise in inflation for October 2024 can be largely attributed to the increased costs of food articles, production of food products, and other manufacturing sectors including machinery and vehicles. As the economic landscape evolves, these inflation trends signal shifting dynamics within India’s market, warranting attention from both policymakers and industry stakeholders.
