Wholesale inflation (WPI) has increased to 2.13% in February. This is a 12-month high level of inflation. It reached 2.38% in February 2025. Earlier in January 2026, wholesale inflation was at 1.81%. Whereas in December, wholesale inflation was at 0.83%. The Commerce Ministry has released wholesale inflation figures today i.e. on March 16. Experts believe that if the US-Israel and Iran war continues for a long time, the price of crude oil may reach $ 150 per barrel. Due to this, petrol and diesel may become expensive, which will increase the cost of freight transportation and the prices of every essential item including fruits and vegetables will increase. Daily essential items and food items became expensive. 4 parts of wholesale inflation are primary article, whose weightage is 22.62%. The weightage of Fuel and Power is 13.15% and the weightage of Manufactured Products is the highest at 64.23%. The primary article also has four parts. Retail inflation has increased to 3.21% in February. Retail inflation has increased to 3.21% in February. Earlier in January it was 2.74%. This increase in inflation has happened at a time when there is a war going on between Israel, America and Iran. Impact of Wholesale Price Index (WPI) on the common man: Prolonged increase in wholesale inflation has a negative impact on most of the productive sectors. If wholesale prices remain high for too long, producers pass the burden on to consumers. Government can control WPI only through tax. For example, in the situation of sharp increase in crude oil, the government had reduced the excise duty on fuel. However, the government can reduce tax cuts only within a limit. In WPI, more weightage is given to factory related goods like metal, chemical, plastic, rubber. How is inflation measured? There are two types of inflation in India. One is retail and the other is wholesale inflation. Retail inflation rate is based on the prices paid by ordinary consumers. It is also called Consumer Price Index (CPI). Whereas, Wholesale Price Index (WPI) means the prices that one trader charges from another trader in the wholesale market. Different items are included to measure inflation. For example, the share of manufactured products in wholesale inflation is 63.75%, primary articles like food 22.62% and fuel and power 13.15%. At the same time, the share of food and products in retail inflation is 45.86%, housing is 10.07% and other items including fuel also have a share.
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