New Delhi: Wholesale inflation (WPI) in India fell to 2.05 percent in March 2025, from 2.38 percent the previous month, according to figures issued by the Ministry of Commerce and Industry on Tuesday.
Wholesale inflation in February was 2.38 percent, according to government figures.
The positive rate of inflation in March is mostly attributable to increases in the cost of manufactured food goods, other manufacturing, food articles, power, and textile manufacturing, among others.
The Food Index, which includes 'food items' from the main articles group and 'food products' from the manufactured goods group, fell from 5.94 percent in February 2025 to 4.66% in March 2025.
Month-over-month change in WPI's primary article groupings decreased by 1.07 percent to 184.6 (provisional) in March from 186.6 in February 2025.
The prices of crude petroleum and natural gas (-2.42 percent), non-food goods (-2.40 percent), and food articles (-0.72 percent) fell in March compared with February. Mineral prices climbed by 0.31 percent in March compared to February 2025.
Wholesale inflation has remained positive for more than a year. Economists frequently argue that a small increase in wholesale inflation is beneficial since it encourages manufacturers to produce more.
In April of last year, wholesale inflation fell into negative territory. Similarly, in July 2020, during the early stages of COVID-19, the WPI was reported as negative.
Notably, wholesale pricing index (WPI)-based inflation remained in double digits for 18 consecutive months until September 2022.
The DPIIT publishes the index number of wholesale prices in India on a monthly basis on the 14th of each month (or the next working day if the 14th falls on a holiday) with a two-week delay from the reference month, and the index number is compiled using data from institutional sources and selected manufacturing units throughout the country.
The country has been experiencing substantial food inflation in recent months, primarily due to a spike in the prices of vegetables, fruits, oils, and fats. It now appears to have subsided.
