Despite negative WPI, govt not passing benefits to people: Cong

New Delhi: Hitting out at the government over constant increase in the prices of consumer goods, the Congress on Friday questioned the Centre that despite a negative wholesale price Index (WPI), why wasn’t the people benefiting out of it.

While addressing a press conference, party spokesperson Gourav Vallabh said: “In its latest data, the Ministry of Statistics and Programme Implementation has claimed that retail inflation measured by the consumer price index (CPI) was at 4.25 per cent in May 2023.”

“The inflation data on WPI is calculated by measuring a change in overall prices of goods before selling at retail prices. In contrast, the CPI measures the changes in the price level of a basket of consumer goods and services bought by final consumers,” he said.

Citing the list of items in which WPI had fallen by more than 10 per cent and their corresponding CPI data for the month of May, the Congress leader said that the WPI for vegetables, potato, oil seeds and oil fats stood at -20.12 per cent, -18 71 per cent, -15 65 per cent and -29.54 per cent, respectively, while the CPI for these products is plus 3.29 per cent, Vallabh asserted.

The Congress leader also said that crude petroleum witnessed a drop of -27.01 per cent, whereas LPG WPI reduced at -24.35 per cent. Even on petrol, the WPI stood at -9.45 per cent and high speed diesel at -17.03 per cent. However, CPI on fuel and light stood at plus 4.64 per cent, he said.

“In this regard, we have four specific demands from the Modi government. When the prices of most essential commodities are falling in the wholesale market, why are the benefits of falling prices not transferred to final consumers?” he asked.

“When WPI numbers for May 2023 for vegetables, potato, and oil seeds are at -20.12 percent, -18.71 percent, and -15.65 percent, respectively, and when the same product was purchased by farmers for self-consumption CPI on food and beverages is +3.29 percent,” he said, adding that it means farmers are selling their products at lower prices and buying them for self-consumption at higher prices.

“When on May 23, WPI numbers for crude petroleum and LPG had a contraction of -27.01 percent and -24.35 percent, respectively, why in retail market prices of LPG, petrol and diesel

were not reduced and the government enjoyed the entire benefit of this contraction?” he questioned.