New Delhi, July 14(HS): The wholesale inflation rate, according to the Wholesale Price Index (WPI), decreased to -0.13 percent in June, attributed to falling food and fuel prices, alongside reduced costs for manufactured goods. In May, the inflation rate was 0.39 percent. The decline in June was mainly driven by lower prices for food, mineral oils, primary metal manufacturing, crude petroleum, and natural gas.

Food prices dropped by 3.75 percent in June, compared to a 1.56 percent decrease in May, with vegetable prices experiencing a notable decline of 22.65 percent in June versus 21.62 percent in May. The inflation rate for manufactured products was 1.97 percent in June, down from 2.04 percent in May, while the fuel and electricity sector saw an increase from 2.27 percent to 2.65 percent.

The Reserve Bank of India (RBI) had recently reduced the policy interest rate by 0.50 percent to set the repo rate at 5.50 percent, lowering its retail inflation estimate for FY 2025-26 from 4 percent to 3.7 percent.

Hindusthan Samachar / Jun Sarkar