Wholesale inflation eases to 12.07% in June as food, crude prices soften

Inflation in fuel and power basket eased to 32.83 per cent during June, against 37.61 per cent in May. 

New Delhi: The wholesale price-based inflation eased marginally to 12.07 per cent in June as crude oil and food items witnessed some softening in prices. However, WPI inflation remained in double digit for the third consecutive month in June, mainly due to a low base of last year. WPI inflation was (-) 1.81 per cent, in June 2020. Snapping the five straight months of uptick, the wholesale price index (WPI)-based inflation in June softened as prices of food articles and crude oil eased, even though manufactured products hardened. "The annual rate of inflation is 12.07 per cent for the month of June, 2021 (over June 2020) as compared to 1.81 per cent in June 2020. The high rate of inflation in June 2021, is primarily due to the low base effect and rise in prices of mineral oils viz petrol, diesel (HSD), naphtha, ATF, furnace oil etc, and manufactured products like basic metal, food products, chemical products etc as compared the corresponding month of the previous year," the Commerce and Industry Ministry said.