WPI inflation has hit a record high of 12.94% in May on commodities: says Ministry of Commerce & Industry.

The wholesale price-based inflation accelerated to a record high of 12.94 per cent in May, on rising prices of crude oil and manufacturing goods. Low base effect also contributed to the spike in WPI inflation in May 2021. In May 2020, WPI inflation was at (-) 3.37 per cent. 

“The high rate of inflation in May 202i is primarily due to low base effect and rise in prices of crude petroleum, mineral oils , petrol,diesel, furnace oil etc. and manufactured products as compared to the corresponding month of the previous year,” the Commerce and Industry Minister said. 

On a segment wise basis, prices of primary articles , which constituted 22.62 per cent of the WPI’s total weightage , rose at a slower rate of 9.61per cent last month from 10.16 per cent in April 2021. 

However, WPI food index rose to 8.11 per cent from 7.58 per cent reported for April.