WPI inflation in May accelerates to 15.88% on higher food prices

India’s wholesale price index (WPI)-based inflation rate shot up to a record high of 15.88 per cent in May in the current 2011-12 series. This comes as food prices accelerated while commodity rates hardened further.

With this, WPI-based inflation has been in double-digits for 14 consecutive months.
 

What makes this worrisome is that the increase was reported despite a high base of 13.11 per cent inflation during the same month last year.

The latest figure also makes it historically the highest in 31 years since September 1991 (16.31 per cent).

Data released by the industry department on Tuesday showed vegetable