Inflation measured on wholesale price index (WPI) was at (-) 2.06 percent in February, (-) 0.39 percent in January, (-) 0.50 percent in December and (-) 0.17 percent in November.     It was 6 percent in March 2014.     

Deflation was also visible in the manufactured products category where the rate of price rise dropped to a record low of (-) 0.19 percent.

Inflation in food articles category stood at 6.31 percent, and for fuel and power, it was (-) 12.56 percent.

While inflation in onions, milk and protein-rich items like egg, meat and fish inched upwards, vegetables and fruits saw the rate of price rise decline during the month.

The rate of price rise in potato saw the steepest fall at (-) 20.66 percent in March, while for wheat it was (-) 1.19 percent.

Inflation in vegetables was 9.68 per cent in March, as against 15.54 percent in February.

The January WPI inflation data has been revised downwards to (-) 0.95 percent as against the provisional estimate of (-) 0.39 percent.

As per the CPI inflation data released last week, retail inflation fell to a 3-month low of 5.17 percent in March on the back of easing food prices.

The decline in inflation and a positive industrial output data would give room to the Reserve Bank to consider a cut in interest rates as has been the demand of the industry.

Besides, industrial output growth jumped to nine-month high of 5 percent in February on better performance of manufacturing sector and higher off take of consumer as well as capital goods.

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