New inflation index in the making

Amid spiralling prices of essential commodities in the country, government is planning to revamp the method for measuring inflation with the help of World Bank’s technical assistance. Moves are afoot in the government to come up with a more realistic way of measuring inflation through a producers price index that would replace whole price index. A committee has been set up under Planning Commission member, Abhijit Sen to come up with a PPI with a base year of 2000-01. —(PTI)