Retail inflation rises to 7.5 per cent in October on rising food prices

(PTI) New delhi date. 13

Retail inflation rose modestly to 6.5 per cent in October on account of higher food prices, according to government data. Retail inflation, as measured by the Consumer Price Index (CPI), stood at 7.5 per cent in September 2011. Inflation, as measured by the Wholesale Price Index (WPI), was 4.81 per cent in October 2010.

According to data released by the National Statistical Office (NSO), food inflation stood at 0.6 per cent in October. Which was 0.9 per cent last month. The Reserve Bank of India (RBI) takes CPI-based retail inflation into account in its bi-monthly policy. The decision on whether to raise or lower interest rates is based on retail inflation.

According to RBI estimates, total inflation for FY 2021-2 will be 6.1 per cent. Inflation is projected to be 5.1 per cent in the second quarter, 7.5 per cent in the third quarter and 7.5 per cent in the fourth quarter of FY 2021-2. Inflation is projected at 7.5 per cent in the first quarter of FY 205-2.

September on the other hand. In 2021, industrial production fell to 7.1 per cent. The decline in September was due to low base effect and weak performance of mining and manufacturing sectors.

According to data released by the National Statistical Office (NSO), the manufacturing sector has a weightage of 6.5 per cent in the Index of Industrial Production (IIP). It is to be noted that industrial production is calculated on the basis of this index. Manufacturing output grew by 4.5 per cent in September.

In September, 2021, the IIP has been 12.5 points. Which was 19.1 points in September, 2020. In September, 2016, the IIP was 12.5 points.