Wholesale price inflation dipped to 0.9 per cent year-on-year in June, as per the latest government data released on Friday. It is notable that on Wednesday there was a considerable decline in the retail inflation which fell to 1.54 per cent in June, its slowest pace in more than five years.
The rise compares with a 1.60 per cent annual gain forecast by economists in a Reuters poll. In May, prices rose a provisional 2.17 per cent. Wholesale food prices fell 1.25 per cent in June, compared with 0.15 per cent rise a month ago, the data showed.
According to data from the Ministry of Commerce and Industry, the wholesale price index (WPI), with the revised base year of 2011-12, decelerated further in June 2017 to 0.90 per cent from 2.17 per cent in May as food prices eased.
India's annual retail inflation eased to 1.54 percent in June to its slowest pace in more than five years, building pressure on the central bank to cut interest rates when it meets for a policy review on August.