NEW DELHI (Reuters) – India’s wholesale price index in September fell 0.26% from a year earlier, according to government data released on Monday.
Economists polled by Reuters had estimated the wholesale price index for September would rise 0.5%. It fell 0.52% in August.
In September, fuel and power prices fell 3.35% from a year earlier, compared with a 6.03% drop in August. Prices of primary articles were up 3.70% versus a rise of 6.34%.
Food prices rose 1.54% year-on-year compared with a rise of 5.62% in August and manufactured product prices fell 1.34% against a 2.37% fall the previous month.
Last week, data showed India’s retail inflation eased to a three-month low in September on the back of softer vegetable prices, but remained above 4%, a target that the country’s central bank has signalled would be key before easing rates.
Earlier this month, the Reserve Bank of India (RBI) kept its key lending rate steady for a fourth consecutive policy meeting and reiterated that it was targeting inflation of 4% and a print of below 6% might not suffice as a condition for easing rates.
(Reporting by Shivangi Acharya and Aftab Ahmed; Editing by Sohini Goswami)
