New Delhi, May 14, 2025 — In a positive development for the Indian economy and consumers alike, India’s wholesale inflation (WPI) fell to a 13-month low of 0.85% in April 2025, down from 2.05% in March 2025, as per the latest data released by the Ministry of Commerce and Industry. The decline is attributed to lower prices of food items, manufactured goods, and fuel, reflecting easing inflationary pressures in the economy.
WPI-Based Inflation at Its Lowest Since March 2024
The Wholesale Price Index (WPI)-based inflation has been on a downward trend for the past several months. April’s 0.85% figure is not only significantly lower than March’s 2.05% but also lower than the 1.19% recorded in April 2024. Notably, the inflation rate was 0.53% in March 2024, underscoring a broader disinflationary trend.
Revised data shows that the WPI inflation for February 2025 has been updated from 2.38% to 2.45%.
Key Contributors to the Decline
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Food Articles:
Inflation in food items moderated to 0.86% in April, down from 1.57% in March. This decline came despite higher vegetable inflation. -
Vegetables:
Inflation rose to 18.26% in April from 15.88% in March. However, this was offset by significant cooling in specific items. -
Onions:
Inflation plummeted to 0.20% in April, down sharply from 26.65% in March. -
Manufactured Products:
Inflation eased to 2.62% in April, compared to 3.07% in March. -
Fuel and Power:
This segment saw a modest rise in inflation to 2.18% in April, up from 0.20% the previous month.
Retail Inflation Also at Multi-Year Low
The drop in wholesale inflation follows a similar trend in retail prices. Consumer Price Index (CPI)-based retail inflation fell to 3.16% in April, marking the lowest level in nearly six years — last seen in July 2019 at 3.15%. This has been largely driven by softening prices of vegetables, fruits, and pulses.
RBI’s Inflation Outlook
The Reserve Bank of India (RBI) has projected retail inflation to remain around the 4% mark for the current fiscal year. The twin moderation in both retail and wholesale inflation strengthens the case for maintaining a supportive policy stance, with potential room for monetary easing if the trend sustains.
Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Udaipur Kiran, his insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.
