May 18, 2025

Current Affairs

India’s WPI Inflation falls to 13-month Low

Context: As per the data released by the Ministry of Commerce and Industry, India’s wholesale inflation fell to a 13-month low of 0.85% in April 2025. It is down from 2.05% in March and 2.38% in February.

The decline in inflation was largely due to a decline in prices in the fuel & power and primary articles segments, although the manufacturing sector continued to show resilience.

Relevance of the Topic: Prelims: Key facts about Wholesale Price Index (WPI).

Wholesale Price Index:

WPI is an economic indicator that measures inflation at the wholesale level i.e., the average change in price of goods and commodities before they reach the retail or consumer market.
It reflects price movements of basket of goods, including primary articles (food, oilseeds, minerals), fuel and power, and manufactured products.
Compiled by: Office of Economic Advisor, Ministry of Commerce and Industry.
Base year: 2011-12
Unlike CPI, WPI does not include services. WPI is used to monitor supply-side inflation and is a critical input for industry pricing, taxation and policy making.

WPI Food Index

Sub-index of WPI. It is a combination of the food articles from the Primary Articles basket, and the food products from the Manufactured Products basket.

Measurement of Inflation in India:

Criteria	Wholesale Price Index (WPI)	Consumer Price Index (CPI)
Level	Measures Inflation at Wholesale level	Measures Inflation at Retail Level
Who Calculates?	Office of Economic Advisor, Ministry of Commerce and Industry	National Statistical Office, Ministry of Statistics and programme Implementation
Base year	2011-12	2012
Categories	Primary Articles, Manufactured products, Fuel and Power	Food and beverages, Tobacco and Intoxicants, Clothing and Footwear,Housing,Fuel,Miscellaneous- Education, Healthcare, Transportation etc.
Highest Weightage	Manufactured products > Primary Articles > Fuel and Power	Food and Beverages
Impact of increase in Food items	Less impact on WPI as compared to CPI, since WPI provides higher weightage to manufactured products and lower weightage to Food items.	Larger impact on CPI as compared to WPI since it gives more weightage to food products.
Services included	No	Yes
Indirect Taxes Included?	No	Yes
Targeted by RBI?	No	Yes. The RBI is required to maintain CPI rate of inflation of 4% with a deviation of 2%.

Cabinet approves India's Sixth Semiconductor Unit

Context: The Union Cabinet has approved India's sixth semiconductor unit- a ₹3,706 crore project to be set up in Jewar, Uttar Pradesh.

Relevance of the Topic: Prelims: Key facts related to India’s efforts towards semiconductor self-reliance.

India's Sixth Semiconductor Unit

The chip manufacturing unit will be a joint venture by Indian firm HCL and Foxconn (Taiwanese electronics manufacturing giant). This is the first semiconductor plant in Uttar Pradesh.
The plant is designed for 20,000 wafers per month. The design output capacity is 36 million units per month.
The facility will manufacture display driver chips for a wide range of devices, including mobile phones, laptops, personal computers (PCs), automobiles and other display-enabled technologies.
The unit will attract investments worth ₹3,700 crore. It will fulfill about 40% of India’s chip needs and boost chances of bringing display panel manufacturing to India.
This semiconductor unit is the sixth to be supported under the ₹76,000 crore first phase of the India Semiconductor Mission (ISM).

India Semiconductor Mission

Strategic initiative aimed at establishing a robust semiconductor and display ecosystem in the country. It seeks to position India as a global hub for electronics manufacturing and chip design.
Launched: 2021
Implemented by: Ministry of Electronics and Information Technology (MeitY) through a special purpose vehicle (SPV) called the India Semiconductor Mission.
Budget outlay: The total outlay for ISM under the Semicon India Programme is ₹76,000 crore.
Incentives: Financial incentives up to 50% of the project cost are provided to companies involved in Semiconductor Fabs, Display Fabs, Assembly, Testing, Marking, and Packaging (ATMP/OSAT) units, Semiconductor Design.

Project approved under India Semiconductor Mission:

As of 2025, six major projects have been approved under the India Semiconductor Mission. Already five semiconductor units are in advanced stages of construction.

Company / Joint Venture	Location
Micron	Sanand, Gujarat
Tata Electronics + PSMC (Taiwan)	Dholera, Gujarat
Tata Semiconductor Assembly & Test (TSAT)	Morigaon, Assam
CG Power + Renesas (Japan) + Stars Microelectronics (Thailand)	Sanand, Gujarat
Suchi Semicon	Surat, Gujarat
HCL + Foxconn (Taiwan)	Jewar, Uttar Pradesh

Also Read: India’s push for Semiconductor Chip Production amid Rising Imports

India ranks among top six nations globally in 6G patent filings

Context: India ranks among the top six countries globally in terms of 6G patent filings. Indigenous 6G development will ensure secure communications, developed and managed within India, and further strengthen the nation's position in the global technology landscape.

Relevance of the Topic: Prelims & Mains: 5G Technology vs 6G Technology.

India’s Rising Role in 6G Technology:

At the recent Bharat 6G 2025 Conference, the government revealed India’s growing achievements in the 6G space.
- India now ranks among the top six countries globally in terms of 6G patent filings.
- Over 111 research projects have been funded with a sanctioned amount of ₹300 crore.
Bharat 6G Vision Document was released in 2023 by the Department of Telecommunications (DoT). It is a roadmap for India to become a global leader in 6G through indigenous research, international collaboration, and ecosystem development.

Evolution of Mobile Networks

What is 6G?

6G stands for the sixth generation of wireless mobile communication technology, expected to be rolled out around 2030.
It will be far more advanced than 5G in terms of speed, latency, intelligence, and applications.

How is 6G different from 5G ?

Parameter	5G	6G
Deployment	Commercial rollout started globally around 2020	Expected rollout around 2030 (currently in R&D phase)
Speed & Latency	Peak data speeds up to 10 Gbps.Latency as low as 1 millisecond.Enabling real-time applications- autonomous vehicles and remote surgeries.	Expected to be 100 times faster, with speeds up to 1 terabit per second (Tbps).Latency below 0.1 milliseconds, enabling near-instantaneous communication.
Frequency & Spectrum	5G operates on sub-6 GHz and millimeter wave (mmWave) bands up to 100 GHz.	6G will operate in the Terahertz (THz) frequency band (100 GHz to 10 THz), allowing it to carry exponentially more data.But it also demands advanced infrastructure due to short-range and high signal loss.
Connectivity density	Supports up to 1 million connected devices per square kilometer.	Aims to connect over 10 million devices per square kilometer, enabling an Internet of Everything- where humans, machines, sensors, and the environment are interconnected in real time.
Security and Privacy	Improved cybersecurity through advanced encryption and network segmentation.	Address emerging threats through quantum-resistant cryptography, zero-trust architecture, and enhanced privacy protections, crucial for applications like e-governance and digital identity.
Applications and Use Cases	Enables smart cities, high-speed broadband, autonomous vehicles, remote healthcare, and industrial automation.	Support immersive applications like holographic communication, digital twins, tactile internet, precision agriculture, and even space-terrestrial communication.
AI / ML Integration	Artificial Intelligence (AI) and Machine Learning (ML) are used externally to assist in managing traffic, optimising performance, and detecting faults.However, the network itself is not AI-native. E.g., AI might help predict network congestion or suggest optimal routes for data, but human operators still make many decisions.	AI and ML will be deeply embedded into the network architecture from the beginning.AI will make real-time decisions about routing, security, load balancing, and fault repair without human intervention. E.g., 6G network can detect a cyberattack, isolate it, and reroute traffic instantly, all through AI-driven responses.

Adoption of 6G Technology is expected to create entirely new industries and revolutionise existing ones, and is expected to contribute Rs 85,37,000 crore (USD 1 trillion) to India's economy by 2035.