All you need to know about the Wholesale Price Index (WPI)?

All you need to know about the Wholesale Price Index (WPI)?

All you need to know about the Wholesale Price Index (WPI)

Wholesale Price Index (WPI)- It is defined as the index which basically tracks changes in the pricing of goods sold and traded in bulk quantity by wholesalers to other retailers. In layman's terms, it measures the prices of products and services purchased by consumers and indicates the direction of inflation. 

Who publishes the WPI in India? 

In India, the Economic Adviser in the Ministry of Commerce and Industry publishes WPI statistical data. Analysts use numbers to track supply and demand dynamics in industry, manufacturing, and construction to provide final estimates. 

Wholesale Price Index (WPI)
Source- Press Information Bureau Government of India

Key points:

• If the WPI index rises, it shows the inflationary pressures in the economy and vice versa. 

• The rate at which the WPI rises month after month is used to calculate the level of wholesale inflation in the economy. 

• WPI is overly dependent on primary articles, which are further subdivided into Food Articles and Non-Food Articles. 

• Cereals, Paddy, Wheat, Pulses, Vegetables, Fruits, Milk, Eggs, Meat & Fish, and so on are examples of food articles.

 • Oilseeds, minerals, and crude petroleum are examples of non-food articles. 

• The second significant item in the WPI is Fuel & Power, which measures changes in the prices of petrol, diesel, and liquefied petroleum gas. 

• Manufactured Goods are the largest basket. Textiles, apparel, paper, chemicals, plastic, cement, metals, and other manufactured items are included. 

• Sugar, tobacco products, vegetable and animal oils, and fats are also included in the Manufactured Goods basket. 

WPI Food IndexIt is defined as the sub-index of WPI, which is calculated with a combination of Food Articles from the Primary Articles basket with Food Products from the Manufactured Products basket.

Post a Comment

Comments are welcomed and encouraged on Stuffsearth Website, but there are some instances where comments will be edited or deleted as follows:

Comments deemed to be spam or solely promotional in nature will be deleted. Including a link to relevant content is permitted, but comments should be relevant to the post topic.
Comments including profanity will be deleted.
Comments containing language or concepts that could be deemed offensive will be deleted. Note this may include abusive, threatening, pornographic, offensive, misleading or libelous language.
Comments that attack an individual directly will be deleted.
Comments that harass other posters will be deleted. Please be respectful toward other contributors.
Anonymous comments will be deleted. We only accept comments from posters who identify themselves.
The owner of this Website reserves the right to edit or delete any comments submitted to the 'Website's Post/Content' without prior notice. This comment policy is subject to change at any time. If you have any questions about the commenting policy, please let us know by using our 'Contact Us' form .

To Top