Prelims Bits » Wholesale Price Index

Wholesale Price Index

Quick UPSC Prelims notes on WPI. Definition, base year, commodities covered, difference from CPI & inflation measurement importance.

Why in News?

  • WPI inflation quickens to a record 15.9%.

About

  • The wholesale price index is an index that measures and tracks the changes in the price of goods in the stages before the retail level

  • WPI is used as a measure of inflation in some economies

  • WPI includes three components viz

    • Manufactured products – 64.2%

    • Primary articles – 22.6%

    • Fuel and power – 13.1%

  • Instead of the earlier 2004-05, base year for the WPI will be 2011-12.