Now there will be no weekly inflation number. The Government has decided to bring in the wholesale price index (WPI) only on a monthly basis. WPI is also known as the headline inflation number. The Cabinet Committee of Economic Affairs (CCEA) on Tuesday approved the periodicity.

At present, there are two sets of wholesale price index. One consists of price movement in primary articles (including food and fuel) and is released on every Thursday. The other includes price movement for primary articles, fuel and manufactured goods on monthly basis and is released as monthly WPI. The monthly data are released usually on the 12th day of the next month.

Mr P.K Chaudhry, Secretary, Department of Industrial Policy and Promotion, told Business Line "weekly data represent just 25 per cent of the commodities in a basket. But with the monthly data we'll be able to give a comprehensive picture". Less frequency, but more reliable data, will help us project a clear picture, he added.

According to a source, there has always been a feeling that weekly data are more frequent but they are not reliable. Secondly, monthly data are a worldwide practice. So releasing monthly data will be more with the global trend, he added. This change is based on the recommendations of the working group on WPI. Earlier, the CCEA, on October 19, 2009, decided to release WPI for primary articles and fuel on weekly basis. It was said that the WPI for primary articles and commodities in Fuel, Power, Light and Lubricant Group would facilitate weekly monitoring of the prices of agricultural commodities and petroleum products which are sensitive in nature.

Meanwhile, the Cabinet Committee on Unique Identity Number is scheduled to meet on Wednesday. It is expected to discuss allowing UID Authority to issue number beyond 20 crore people.

> Shishir.S@thehindu.co.in

Related Topics