(Figure 4.1). However, inflation in fuel has continuedto remain high during the last two years. Inflation inmanufactured products had started to acceleratesince January 2011, remaining range-bound between7 and 8 per cent in 2011, due to a surge in metaland chemical prices, but it has also recently startedto moderate.4.5Compared to a relatively benign and stableinflationary period in the earlier part of the lastdecade, average headline WPI inflation started torise in 2008-9 and persisted. The pressure wasmainly from primary and fuel products with theaverage inflation in these commodities remainingpersistently in double digits for a major period since2008-9. In comparison, inflation in manufacturedproducts remained relatively stable, dropping sharplyin 2009-10 because of the global economic crisisand impacts in India, before it started to pick upand exceed its long-run average of around 5 per cent in early 2011-12. Among individual productgroups, inflation in food products, beverages,textiles, chemicals, and basic metals remainedelevated mainly on account of high global commodityprices and cost push pressures (Table 4.2).
P e r c e n t
Year-on-year inflation for major groups in WPI
A p r 1 0 M a y 1 0 J u n 1 0 J u l 1 0 A u g 1 0 S e p 1 0 O c t 1 0 N o v 1 0 D e c 1 0 J a n 1 1 F e b 1 1 M a r 1 1 A p r 1 1 M a y 1 1 J u n 1 1 J u l 1 1 A u g 1 1 S e p 1 1 O c t 1 1 N o v 1 1 D e c 1 1 J a n 1 2
Manufac-turedProductsFood ArticlesFuel &Power All commo-dities
Table 4.1 Annual Inflation as per Different Price Indices
April10.889.7413.339.4114.969.1114.969.11May10.489.5613.918.7213.689.6313.689.63June10.259.5113.738.6213.029.3213.029.14July9.989.3611.258.4311.029.0311.249.03 Aug.8.879.789.888.999.659.529.669.71Sept.8.9810.009.8210.069.139.439.349.25Oct.9.089.879.709.398.439.368.459.73Nov.8.209.468.339.347.148.956.959.14Dec.9.457.47 P9.476.497.996.378.016.72Jan.9.476.55 P9.305.328.674.928.695.27Feb.9.54 8.82 8.55 8.55Mar.9.68 8.82 9.14 8.96
Average9.56 10.45 10.00 10.01
: The Office of the Economic Adviser (OEA), Department of Industrial Policy and Promotion (DIPP).
: P : Provisional; CPI : Consumer Price Index; IW : Industrial Workers; AL : Agriculture Labour; RL : Rural Labour