The wholesale price index (WPI) inflation eased to 2.31 per cent in January, down from 2.37 per cent in December 2024, according to data released by the Ministry of Commerce and Industry on Friday.
Food article prices declined but there was a rising cost in the manufacturing of food products and textiles.
Data from the ministry said the positive rate of inflation in January, 2025 is primarily due to increase in prices of manufacture of food products, food articles, other manufacturing, non-food articles and manufacture of textiles etc.
The index for Primary Articles decreased by 2.01 per cent in January. Price of food articles (-3.62%) decreased in January, 2025 as compared to December, 2024.
The price of crude petroleum and natural gas (6.34%), non-food articles (0.66%) and minerals (0.22%) increased in January, 2025 as compared to December, 2024.
WPI Food Index fell to 7.47% in January 2025, compared to 8.89% last month, suggesting a slight easing in food price pressures.
Fuel prices declined by 2.78% in January, compared to a 3.79% drop in December. Manufacturing inflation rose to 2.51%, up from 2.14% in the previous month.
Recently, the Ministry of Statistics & Programme Implementation (MoSPI) released the Consumer Price Index (CPI) based retail inflation saying it eased to 4.6% in January from 5.22% in December.
It was a decline of 91 basis points in headline inflation compared to the previous month, making it the lowest year-on-year inflation since August 2024.
Corresponding inflation rates for rural and urban areas are 6.31% and 5.53%.
The significant decline in headline inflation and food inflation during the month of January, 2025 is mainly attributed to decline in inflation of vegetables, egg, pulses and products, cereals and products, education, clothing and health.