January WPI inflation falls to 6-month low of 2.84%, in line with CPI data

Every category in food items, barring milk, saw moderation in inflation or continued price fall

The Wholesale Price Index (WPI)-based inflation rate fell — in step with the consumer price inflation (CPI) rate — to a six-month low of 2.84 per cent in January, from 3.58 per cent in December, on the back of lower increases in the prices of food and petroleum.

The CPI-based inflation rate came down in January to 5.07 per cent, from 5.21 per cent in December. While both are down, the moderation in the latter was sharper. 

This, along with the expected rise in the CPI inflation rate from the first quarter of the next financial year, shows that the gap between