In April, India’s wholesale inflation hit a three-decade high as rising commodity prices and supply-chain disruptions pushed up businesses’ input costs.
According to figures issued by the Commerce Ministry on Tuesday, wholesale prices increased 15.08 percent year over year in April. In a Bloomberg survey of 14 analysts, the median prediction was for a 14.92 percent increase. The WPI reached its highest point in September 1991, with a reading of 16.31 percent.
Retail inflation for the same month reached an eight-year high, according to data released last week. The Reserve Bank of India announced a surprise rate hike earlier this month in an effort to cool price growth, which has already beyond its 6 percent upper tolerance range for the year. It is projected to boost rates even higher in June’s monetary policy announcement, as well as alter its 5.7 percent inflation prediction.
According to the statement on Tuesday, food prices increased by over 8.35 percent, while fuel and power prices increased by 38.66 percent.
According to the Commerce and Industry Ministry, the increase in inflation was mostly attributable to price increases in mineral oils, metals, crude petroleum, natural gas, food, and chemical items.
