On a YoY basis, last month's increase in the CFPI rate was much higher than the 0.61 per cent rise during April 2017.
The manufactured products which showed a rise in inflation were - Textiles, Wearing Apparel, Leather and Related Products, Printing and Reproduction of Recorded Media, Chemicals and Chemical Products, Rubber and Plastics Products ETC.
However, the price of radiators & coolers and chain (2 per cent each) and piston ring/piston & compressor (1 per cent) declined. The rate had increased to 3.85 per cent in April 2017.
Among manufactured products, basic metals rose by 13.04%, while sugar became cheaper by 15.56% in April over the corresponding month past year.
An unfavourable base effect also pushed WPI inflation higher in April.
Primary articles which have weightage of 22.62% in WPI, rose by 1.4 percent to 129.2 (provisional) from 127.4 (provisional) for the previous month. However, inflation in the vegetable segment was lower at 7.29 percent in April compared to 11.7 percent.
Going ahead, fuel and power segment which has a weight of 13.15% in WPI, rose by 0.9 percent to 98.9 (provisional) in April 2018, from 98.0 (provisional) for the previous month. According to data released by the Commerce Ministry today said, inflation in food articles was at 0.87 per cent in April 2018, as against a deflation of 0.29 per cent in the preceding month. Prices of high-speed diesel rose twice as fast at 13 per cent and petrol prices rose by 9.45 per cent, up from the 2.55 per cent rise seen in March.
In addition, India Ratings and Research's Chief Economist Devendra Kumar Pant said: "Higher core-core inflation (non-food, non-fuel and light and non-transport and communication) shot to 34 months high at 6 per cent".
On WPI, Aditi Nayar, Principal Economist with ICRA said that inflation is expected to continue to rise over the remainder of this quarter. "However, a normal monsoon and moderate food inflation may act as a counter".
India's inflation accelerated more than estimated in April, providing ammunition to hawks in the central bank to tighten monetary policy and fueling a selloff in bonds. "The trajectory of RBIs policy in remainder of FY19 will be governed by the movement of oil prices".