Consumer Price Index (CPI) - Vegetables
Consumer Price Index (CPI)
July 2019
2.82% (YoY)
CPI - Vegetables
Monthly Trend
Chart of Current CPI - Vegetables Index
CPI - Vegetables
The Consumer Price Index (CPI) for Vegetables in July 2019 rose by 2.82% (YoY)
from an year ago.According to data released by the Central Statistics Office, the country's CPI for Vegetables in Jul 2019 was pegged at 160.3, compared to 155.9 reported in the corresponding period last year. The CPI in Jul 2019 for urban areas was 180.1 and for the rural areas was 180.1.
This months CPI figure represents a jump of 6.51% (MoM) since last month, as CPI(Combined) for Jun 2019 stood at 150.5.
What does CPI - Vegetables signify?
Let us assume that a basket of goods and services; in this case, Vegetables was costing Rs. 100.00 in 2012 (Base Year).
Consumer Price Index (CPI) informs us that, the same basket of goods and services i.e. Vegetables
| was costing Rs. 102.20 in Jan 2013 |
| was costing Rs. 122.20 in Jan 2014 |
| was costing Rs. 133.00 in Jan 2015 |
| was costing Rs. 141.50 in Jan 2016 |
| was costing Rs. 119.40 in Jan 2017 |
| was costing Rs. 151.60 in Jan 2018 |
| was costing Rs. 131.30 in Jan 2019 |
| was costing Rs. 160.30 in Jul 2019 |
Consumer Price Index (CPI) Weightage
Vegetables
Vegetables is a sub-group of Food and beverages. In the calculation of Consumer Price Index, Vegetables has the following weightage:
| Index | Rural | Urban | Combined |
|---|---|---|---|
| Vegetables | 7.46% | 4.41% | 6.04% |
Other sub-groups included alongside Vegetables in the Food and beverages group are:
| Index | Rural | Urban | Combined |
|---|---|---|---|
| Vegetables | 15.78% | 14.88% | 15.46% |
Historical Consumer Price Index Trend
Inflation is as violent as a mugger, as frightening as an armed robber and as deadly as a hit man.
~ Ronald Reagan
What is Consumer Price Index (CPI)?
A Consumer Price Index (CPI) is designed to measure the changes over time in general level of retail prices of selected goods and services that households purchase for the purpose of consumption. Such changes affect the real purchasing power of consumers’ income and their welfare. The CPI measures price changes by comparing, through time, the cost of a fixed basket of commodities.
The basket is based on the expenditures of a target population in a certain reference period. Since the basket contains commodities of unchanging or equivalent quantity and quality, the index reflects only pure price.
The annual percentage change in a CPI is used as a measure of inflation.
Over the years, CPIs have been widely used as a macroeconomic indicator of inflation, and also as a tool by Government and Central Bank for targeting inflation and monitoring price stability. CPI is also used as deflators in the National Accounts. Therefore, CPI is considered as one of the most important economic indicators.
Consumer Price Index in India
In India, the Consumer Price Index is calculated on a monthly basis and is released every month at 5.30 p.m. on 12th day of the following month. If it is a holiday, then it is released on the next working day. All-India CPIs (Rural, Urban, Combined) along with inflation rates for Sub-group, Group, CFPI and General Index (All-Groups) are released through a Press Note and are also uploaded on the website of the Ministry of Statistics and Programme Implementation.
Items are first classified, organised and coded according to Groups, Sub Groups and Categories. Then a Weighing Diagram is prepared. Weighing diagram gives the share of each item in the total consumption expenditure in a Consumer Expenditure Survey(CES). For calculation of Consumer Price Index (CPI), prices are collected from 1181 village markets covering all districts and 1114 urban markets distributed over 310 towns of the country. The elementary/item indices are then computed using Geometric Mean (GM) of the Price Relatives of Current Prices with respect to Base Prices of different markets in consonance with the international practice.
For current series of CPI, the base year has been taken as 2012. The basket of items and their weighing diagrams have been prepared using the Modified Mixed Reference Period (MMRP8) data of Consumer Expenditure Survey (CES), 2011-12, which is 68th Round of National Sample Survey (NSS).