Low WPI inflation _ touched five year low

Wholesale inflation dropped sharply to 3.74 per cent in August to a nearly five-year low .

It was  5.19 per cent in July and 6.99 per cent  one year ago in August 2013.

The August WPI inflation is the lowest since October 2009 when it stood at 1.8 per cent.

Inflation in the food segment witnessed a significant decline Vegetable prices contracted 4.88 per cent, the third continuous month of decline. Lower inflation was also due to lower fuel inflation .

The August retail inflation too eased to 7.8 per cent compared to 7.96 per cent in July.