Wholesale Inflation by Country

Understanding Wholesale Inflation — a simple guide

What it measures

The year-on-year change in the wholesale price index (WPI), which tracks the prices of goods at the first point of bulk sale — factory gate, mandi or importer — before retail margins and taxes are added.

How it is calculated

WPI (all commodities) this month ÷ the same month last year − 1, × 100. In India the index is compiled by the Office of the Economic Adviser (DPIIT) and published through MoSPI; the series here links base 2011-12 with the new base 2022-23.

Why it matters for the economy and markets

Wholesale prices often move before consumer prices: when businesses pay more for fuel, metals or farm goods, part of that cost reaches shoppers a few months later. It is also a good measure of pressure on company profit margins.

How to read it

WPI has no services and gives a large weight to fuel, metals and primary goods, so it swings far more than consumer inflation and can turn negative when global commodity prices fall. Compare it with consumer inflation to see whether cost pressure is building up or easing.

What to look at alongside it

Consumer inflation, crude oil and metal prices, the exchange rate and industrial production.

Key terms

WPI

Wholesale Price Index — prices of goods traded in bulk.

Primary articles

Farm goods and minerals — a volatile part of WPI.

Base year

The year in which the index is set to 100; new bases update the basket of goods.

How to use the chart

Use the 5Y / 10Y / 25Y / Max buttons to change the time range, or drag the slider under the chart. Hover (or tap) on the line to see the exact value for any period. Dashed lines and hatched bars are IMF projections, not actual data. The “Download CSV” button gives you the full data series.