India’s WPI inflation hits 42-month high of 8.3% in April on fuel price surge

India’s wholesale price index (WPI)-based inflation accelerated to a 42-month high of 8.3 per cent year-on-year in April, sharply higher than 3.88 per cent recorded in March, according to data released by the Ministry of Commerce and Industry on Thursday. The surge was largely driven by a steep increase in fuel and energy prices amid rising global crude oil costs linked to the ongoing West Asia crisis.

On a month-on-month basis, wholesale inflation rose 3.86 per cent in April compared with 1.52 per cent in March, signalling mounting input cost pressures across sectors. Government data showed that higher prices of mineral oils, crude petroleum and natural gas, basic metals, manufactured goods and non-food articles contributed significantly to the rise in inflation.

Among major categories, inflation in the fuel and power segment surged to 24.71 per cent in April from 1.05 per cent in March, reflecting the sharp jump in global energy prices. Inflation in primary articles also climbed to 9.17 per cent from 6.36 per cent in the previous month. Manufactured products — which carry the highest weight in the WPI basket — recorded inflation of 4.62 per cent in April, up from 3.39 per cent in March. Meanwhile, the WPI food index, comprising food articles and food products, edged up to 2.31 per cent from 1.85 per cent.