Food inflation eased into single digits to touch a nine-week low of 9.01 per cent during the week to November 12, largely on account of the base effect.
Cereals, fruits and vegetables such as potatoes and onions too contributed to the declining trend.
In the previous week, annual WPI-based food inflation was recorded at 10.63 per cent. On a week-on-week basis, the food articles index declined 0.7 per cent to 198.5 as prices of most commodities, including protein-rich food items, recorded a dip.
The sharp deceleration reflects a moderation in price levels, which is expected to become more pronounced by December, when the statistical base turns favourable.
During the latest reported week, non-food articles index too eased sharply, while inflation was unchanged in the fuels subgroup.
Responding to the latest inflation estimates, the Finance Minister, Mr Pranab Mukherjee, said food inflation is expected to ease further.
“If this trend continues for the next two weeks of November, I hope there will be a moderation in inflation, and it will have its impact on the year-end inflation figure,” he told reporters.
According to the latest data, onions were down 33 per cent year-on-year, while potatoes were down by over 7 per cent and wheat eased over 3 per cent.
During the week, vegetables were up 18 per cent, while pulses surged over 14 per cent, milk by over 10 per cent and eggs, meat and fish by 12 per cent. Fruits were up 5 per cent while cereals surged close to 3 per cent.
Inflation in the overall primary articles category stood at 9.08 per cent during the week ended November 12, as against 10.39 per cent in the previous week. Primary articles have over 20 per cent weight in the WPI.
Inflation in non-food articles, including fibres, oilseeds and minerals, was recorded at 4.05 per cent during the week under review, as against 5.33 per cent in the week ended November 5.
Fuel and power inflation stood at 15.49 per cent during the week ended November 12, the same as in the previous week.
Headline inflation has remained sticky, hovering above 9 per cent for 11 successive months to October despite an unprecedented 13 rate hikes by the RBI.