Wholesale Inflation Rises to 3.88% in March; Oil and Metals Become Costlier, Sharp Surge in Jewellery Prices

The rise in wholesale inflation in March was primarily driven by an increase in prices of crude petroleum and natural gas, non-food articles, manufacture of basic metals, food articles, and others.

According to the data, fuel and power prices increased by 4.13 percent in March compared to February. Mineral oil prices rose by 8.77 percent during the month. However, electricity prices saw a decline of 5.07 percent in March.

The Ministry stated that out of 22 manufacturing groups, prices increased in 16 groups in March, while a decline was recorded in 6 groups. Meanwhile, wholesale food inflation stood at 1.85 percent in March, the same level as in February.

The Ministry said that in March, retail inflation in rural areas was 3.63 percent, while in urban areas it was 3.11 percent.Food inflation stood at 3.87 percent in March, up from 3.47 percent in February. In rural areas, food inflation was 3.96 percent, and in urban areas, it was 3.71 percent.

In the past month, the top five items that recorded the lowest inflation at the national level were: Onion (-27.76%), Potato (-18.98%), Garlic (-10.18%), Arhar/Tur (-9.56%), and Peas & Gram (-7.87%). All these items had negative inflation on an annual basis.

On the other hand, the top five items with the highest inflation were: Silver Jewellery (148.61%), Gold/Diamond/Platinum Jewellery (45.92%), Copra (45.52%), Tomato (35.99%), and Cauliflower (34.11%). All these items recorded positive inflation on an annual basis.