Wholesale price inflation cools to 1% in March on sharp fall in food prices

The inflation based on wholesale price index (WPI) eased to 1 per cent in March from 2.26 per cent in February on sharp fall in food prices in the country.

Food inflation in March fell to 4.91 per cent from 7.79 per cent in the previous month, data released by the Commerce and Industry Ministry on Wednesday showed.

The nationwide lockdown which started on March 25 would have had some impact on the data collection for the month.

Inflation in vegetables fell sharply to 11.90 per cent in March from a high of 29.97 per cent in the previous month.

However, inflation in onion continued to rule high at 112.31 per cent during March.

Fuel and power basket witnessed deflation of 1.76 per cent, while manufactured products witnessed inflation of 0.34 per cent.

The government said, due to outbreak of coronavirus and national lockdown, the provisional figures of WPI for latest month are computed with low response rate.

“The figures are likely to be revised in a significant manner during release of final month,” it added.