Mumbai, June 14: The annual rate of inflation in wholesale prices in India slipped to 2.17 per cent in May, from 3.85 per cent in April 2017, official government data said on Wednesday. Food prices have declined leading to a 0.90 per cent decline in the Wholesale Price Index (WPI) as compared to the WPI for the same month in the previous year.

According to a press release by the Union Ministry of Commerce and Industry, the build up inflation rate in the financial year so far has declined 0.35 per cent compared to a build up rate of 2.51% in the corresponding period of the previous year. According to experts, a fall in the food, fuel and power prices lead to a decline the WPI inflation this month.

In April too, the WPI had eased by 1.16 per cent. Fuel and power inflation dropped to 11.69% as against 18.5% in April 2017. In the Primary Articles group, that includes food and non-food items, minerals and natural gas, the overall index declined by 1.5 per cent. Meanwhile, the index for ‘Food Articles’ category also declined, indicating a drop in the prices of fish, eggs, pulses and tea, said a report by Scroll. 

Food prices dipped by 2.27 per cent during the month under review. On a year-on-year (YoY) basis, expenses on primary articles declined by 1.79 per cent as compared to a rise of 4.38 per cent during the same month a year ago, said an IANS report. Primary articles constitute 22.62 per cent of the WPI’s total weightage. Meanwhile, prices of manufactured products, comprising nearly 64.23 per cent of the index, rose by 2.55 per cent.