High food and fuel prices push wholesale inflation to 3.18 pc in March

The annual rate of inflation based on wholesale price index stood at 3.18 per cent in March mainly due to hike in food and fuel prices, the government said on Monday. Wholesale inflation was 2.93 per cent in February and 2.74 per cent in March 2018.

The official wholesale price index for all commodities (base: 2011-12=100) for March 2019 rose by 0.4 per cent to 120 (provisional) from 119.5 (provisional) for the previous month.

Build up inflation rate in the financial year so far was 3.18 per cent compared to a build-up rate of 2.74 per cent in the corresponding period of previous year, according to a statement released by the Ministry of Commerce and Industry.

The inflation in food articles basket was 5.68 per cent during March, mainly due to the vegetable rate of inflation increasing at 28.13 per cent, up from 6.82 per cent in February.

Inflation in the fuel and power category also increased to 5.41 per cent from 2.23 per cent in February.

On Friday (April 12), the government said retail inflation across the country accelerated to 2.86 per cent in March from 2.57 per cent in February due to slightly higher food prices.

However, it remained within the 4 per cent comfort zone of Reserve Bank of India.

-ANI