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Centre forms panel to rejig Wholesale Price Index
  • The Hindu
  • |
  • Economics (Indian Economy)
  • |
  • 2025-01-03
  • WPI
  • Base Year
  • PPI

The Centre has established an expert panel to revise India's Wholesale Price Index (WPI) and develop a new Producers' Price Index (PPI) due to economic changes since 2011-12. The group, led by Niti Aayog's Ramesh Chand, aims to submit its report by June 2026.

Formation of Expert Panel to Revise Wholesale Price Index (WPI)

The Centre announced the establishment of an expert panel on January 2, 2025, to revise the constituents of India’s Wholesale Price Index (WPI).  This revision is in response to structural changes in the economy since 2011-12, the current base year, to 2022-23, which will be the new base year.

Objectives and Tasks of the Expert Panel

  • The panel, led by Niti Aayog member Ramesh Chand, will review and revise the composition and compilation methodology of the WPI and a new Producers’ Price Index (PPI).
  • Approved by the technical advisory panel on Statistics of Prices and Cost of Living, the group aims to improve the accuracy and reliability of these indices.
  • The panel is expected to submit its final report by June 30, 2026.

Terms of Reference

  • Review and improve the current system of price collection.
  • Decide on the computation methodology for both WPI and PPI.
  • Suggest further improvements in the compilation and presentation formats of the PPI.
  • Recommend a roadmap for transitioning from the WPI to the PPI.
  • Propose any other necessary improvements for enhancing the indices' reliability.

Panel Composition

The panel consists of 18 members, including:

  • Eight officials from Ministries of Statistics, Finance, Petroleum and Natural Gas, Agriculture, and Consumer Affairs.
  • A representative from the Reserve Bank of India (RBI) and the Chief Executive Officer of the Goods and Services Tax Network.
  • Private sector economists and 2 non-official members. 

Additional Provisions

The Ministry has stated that the Chairman of the Working Group may include other experts or representatives from various agencies as deemed necessary.

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