Background of CPI-IW series:

The CPI-IW series on scientific lines was first introduced with base 1960=100 which was based on the results of Family Living Survey conducted in 1958-59 at 50 industrially important centres. The series was then, updated on base 1982=100 and a revision in 1999-2000 has further updated the base on 2001=100. The current series of CPI-IW with base year 2001=100 covers 78 industrially mportant centers spread across the country.

Need for Base Updation:

The consumption pattern of the working class population undergoes change over a period of time and therefore, it becomes necessary that the consumption basket is updated from time to time to account for these changes and to maintain the representative character of the index. The need for frequent revision of base on account of fast changing consumption pattern of the target group has been recommended by International Labour Organisation, National Statistical  Commission, National Commission on Labour  and also Technical Advisory Committee on Statistics of Prices and Cost of Living. Also this recommendation was strongly reiterated by the Index Review Committee set up under the Chairmanship of Prof. Chadha which inter-alia stated that the intervening gap between the two series should not exceed 10 years. Labour Bureau accordingly, has proposed to revise the base year of the existing CPI-IW series 2001=100 to a more recent base year preferably, 2015=100.

Scope and Coverage:

The current series of CPI-IW with base 2001=100 was constructed on the basis of employment data in seven sectors namely, Registered Factories, Mining, Plantations, Ports & Docks, Public Motor Transport, Electricity Generation & Distribution Establishments and Railways sector. The current series comprises of a basket of about 370 items and 289 price collection markets spread across 78 centres of the country. In the existing series, the Working Class Family Income & Expenditure Survey was conducted during 1998-99 by the NSSO and a sample size of 41040 family budget schedules and 15960 house rent schedules (i.e. about a total of 57000 schedules) were canvassed from 78 industrially important centres of the country.

In the new Working Class Family Income & Expenditure Survey a sample size of 48384 family budget schedules and 18816 house rent schedules (i.e. total of 57000 schedules) will be  canvassed from 88 industrially important centres of the country. The price collection work will be done by the Labour Bureau and the main survey work of income & expenditure data collection will be conducted by NSSO. The new series of CPI-IW will cover the following 88 Centres belonging to the 7 sectors of the existing series.

Centres selected for the new series of CPI-IW ( 2015=100):

1 Andhra Pradesh 01.  Guntur
02.  Vishakhapatnam
03.  Nellore
2 Assam 04.  Biswanath Chariali
05.  Doom-Dooma-Tinsukia
06.  Guwahati
07.  Labac Silchar
08.  Sibsagar
09.  Numaligarh-Golaghat
3 Bihar 10. Monghyr-Jamalpur
11. Patna
4 Chandigarh 12. Chandigarh
5 Chhattisgarh 13. Bhilai
14. Korba
15. Raipur
6 D& N Haveli 16. Dadra & Nagar Haveli
7 Delhi 17. Delhi
8 Goa 18. Goa
9 Gujarat 19. Ahmedabad
20. Bhavnagar
21. Rajkot
22. Surat
23. Vadodara
10 Haryana 24. Gurgaon
25. Faridabad
26. Yamunanagar
11 Himachal Pradesh 27. Himachal Pradesh
12 J & Kashmir 28. Jammu & Kashmir
13 Jharkhand 29. Bokaro
30. Dhanbad- Jaria
31. Jamshedpur
32. Ramgarh
14 Karnataka 33. Bangalore
34. Belgaum
35. Chikmagalur
36. Davanagere-Harihara
37. Hubli-Dharwad
38. Mercara-Kodagu
39. Mysore
15 Kerala 40. Ernakulam/Alwaye
41. Idukki
42. Kollam
16 Madhya Pradesh 43. Bhopal
44. Chindwara
45. Jabalpur
46. Indore
17 Maharashtra 47. Mumbai
48. Nagpur
49. Nasik
50. Pune
51. Sholapur
52. Thane
18 Meghalaya 53. Shillong
19 Odisha 54. Angul-Talchar
55. Cuttak Keonjhar
56. Angul-Talchar
20 Puducherry 57. Puducherry
21 Punjab 58. Amritsar
59. Jallandhar
60. Ludhiana
61. Sangrur
22 Rajasthan 62. Alwar
63. Bhilwara
64. Jaipur
23 Tamil Nadu 65. Chennai
66. Coimbatore
67. Conoor
68. Madurai
69. Salem
70. Triunelveli
71. Virudhu Nagar
24 Telangana 72. Hyderabad
73. Manchirya
74. Warrangal
25 Tripura 75. Tripura
26 Uttar Pradesh 76. Agra
77. Ghaziabad-G.B.Nagar
78. Kanpur
79. Lucknow
80. Varanasi
27 Uttrakhand 81. Udham Singh Nagar
28 West Bengal 82. Darjeeling
83. Durgapur
84. Haldia
85. Jalpaiguri
86. Howrah
87. Kolkatta
88. Raniganj


i) Standing Tripartite Committee:

The Index Review  Committee  (IRC) headed by Prof. G.K.  Chadha recommended  for constitution of a Standing Tripartite Committee (STC) of all the stakeholders. Accordingly Ministry of Labour & Employment constituted a Standing Tripartite Committee (STC) vide order No. Y-12011/5/2010-ESA(LB), dated 12th January, 2011.

The Terms of Reference of the STC formed are as follows: The Standing Tripartite Committee will

{i} examine the various aspects of the base year revision of Consumer Price Index Number Series for Industrial Workers {CPI-IW} including the selection of Centres, sample size, sampling design, methodology for deriving the weighting diagram and linking factor;

{ii} examine the method of price collection procedures and machinery of price collection;

{iii} examine the centre specific weighting diagrams for all the centres, selection of base year, compilation of base year prices, trial indices; and

{iv} consider any other relevant issue{s}/matter as may be necessary.

Secretarial assistance to the Standing Tripartite Committee will be provided by the Labour Bureau, Ministry of Labour. The Committee may also enlist the assistance of subject matter experts within and/or outside the Government and may co-opt members according to necessity.


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