Which of the following Institution/Office bring out the Wholesale Price Index (WPI) data in India ?

Question

UnlockIAS · Accepted Answer

Correct — B, the Ministry of Commerce and Industry. India's Wholesale Price Index is compiled and released by the Office of the Economic Adviser (OEA) in the Department for Promotion of Industry and Internal Trade (DPIIT), which is part of the Ministry of Commerce and Industry. The all-commodities WPI (current base year 2011-12) is put out on a monthly basis and is the headline measure of wholesale-level price change.

Why the other options are wrong — (a) The RBI uses inflation data for monetary policy but does not compile the WPI; since 2016 its statutory inflation target is anchored to the Consumer Price Index (CPI), not the WPI.  (c) The Ministry of Finance brings out the Economic Survey and the Union Budget documents, not the WPI series.  (d) This ministry monitors retail/wholesale prices of a few essential commodities for market intervention, but the WPI itself is published by the Office of the Economic Adviser under Commerce and Industry — the CPI, separately, is released by the National Statistical Office (MoSPI).

Concept: India runs two main price indices published by different agencies. The Wholesale Price Index (WPI) is released by the Office of the Economic Adviser, DPIIT, Ministry of Commerce and Industry, and measures price change at the wholesale/producer level (no services). The Consumer Price Index (CPI), which captures retail prices including services, is released by the National Statistical Office under the Ministry of Statistics and Programme Implementation (MoSPI) and is the RBI's target for inflation.

State PCS 2021 Q3 — Economy PYQ with Answer

State PCS 2021 Q3 — Economy PYQ with Answer