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Expected DA from july 2023 is 4% For Central Government Employees: AICPIN (All India Consumer Price Index) June 2023

GOVERNMENT OF INDIA MINISTRY OF LABOUR & EMPLOYMENT LABOUR BUREAU Shram Bureau Bhawan, Block No. 2, Institutional Area, Sector 38 (West), Chandigarh — 160036 Dated: 31st July, 2023

F.No. 5/1/2021-CPIPress Release

Consumer Price Index (AICPIN) for Industrial Workers (2016=100) — June, 2023

The Labour Bureau, an attached office of the M/o Labour & Employment, has been compiling Consumer Price Index for Industrial Workers every month on the basis of retail prices collected from 317 markets spread over 88 industrially important centres in the country. The index is compiled for 88 centres and All-India and is released on the last working day of succeeding month. The index for the month of June, 2023 is being released in this press release.

The All-India CPI-IW for June, 2023 increased by 1.7 points and stood at 136.4 (one hundred thirty six point four). On 1-month percentage change, it increased by 1.26 percent with respect to previous month compared to increase of 0.16 per cent recorded between corresponding months a year ago. 

The maximum upward pressure in current index came from Food & Beverages group contributing 1.62 percentage points to the total change. At item level, Rice, Wheat, Wheat Atta, Arhar Dal, Moong Dal, Fish Fresh, Poultry Chicken, Egg-Hen, Apple, Banana, Brinjal, Carrot, Ginger, Cauliflower, Chili Green, Potato, Onion, Tomato, Cumin seed/Jira, Supari, Casual Wear, Canvas Shoes, Utensil, Medicine ayurvedic, etc. are responsible for the rise in index. However, this increase was largely checked by Mustard Oil, Palm Oil, Sunflower Oil, Coconut Oil, Lemon, Mango, Kerosene Oil, etc. putting downward pressure on the index.

At centre level, Angul-Talchar recorded a maximum increase of 8.5 points followed by Raipur and Labac-Silchar with 6.8 and 6.3 points respectively. Among others, 3 centres recorded increase between 5 to 5.9 points, 2 centres between 4 to 4.9 points, 10 centres between 3 to 3.9 points, 11 centres between 2 to 2.9 points, 28 centres between 1 to 1.9 points and 26 centres between 0.1 to 0.9 points. On the contrary, Mungel-Jamalpur recorded a maximum decrease of 1.1 point. Among others, 4 centers recorded decrease between 0.1 to 0.9 points.

Year-on-year inflation for the month stood at 5.57 per cent compared to 4.42 percent for the previous month and 6.16 per cent during the corresponding month a year before. Similarly, Food inflation stood at 6.00 per cent against 3.24 per cent of the previous month and 6.73 per cent during the corresponding month a year ago. 

It is assumed from the AICPIN Points for June 2023 that the Central Government Employees DA Rate may increase to 46 % from July 2023. As per the CPI Press Release, major 41 Centres recorded a maximum increase of 4.1 points (Howrah) and a minimum of 0.1 Points. On the contrary, 15 other centres recorded decrease between 1.9 points to 0.1 points. Rest of four centres index remained stationary.

So All India Average increased 1.7 Points and that made the AICPIN to reach 136.4 points Level. From October 2022 to February 2023, the CPI Index is moving between 132.5 and 132.7 Points. So this 0.5 Points fluctuation makes no impact on DA calculation. Now an increase of 1.7 points in AICPIN will put pressure on the DA calculation to increase the Central Govt Employees DA Rate from 42% to 46%.

All-India Group-wise CPI-IW for May, 2023 and June, 2023


Sr. No.    Groups                                                  May, 2023                     June, 2023

I             Food & Beverages                                   133.7                             137.8

II          Pan, Supari, Tobacco & Intoxicants       155.5                            156.0

III         Clothing & Footwear                               136.9                            137.0

IV         Housing                                                     123.4                            123.4

V          Fuel & Light                                               181.7                             181.5

VI         Miscellaneous                                          132.3                             132.6

           General Index                                            134.7                              136.4

The next issue of CPI-IW for the month of July, 2023 will be released on Thursday, 31st August, 2023. The same will also be available on the office website www.labourbureau.gov.in.

(Anil Kumgr Negi) Director


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