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Positive rate of inflation is mainly due to a rise in prices of food products, manufacturing, non-food articles, non-metallic mineral products and transport equipment, as per data.
According to the WPI data, deflation in food articles was 3.06 per cent in August, as against a deflation of 6.29 per cent in July.
India’s wholesale inflation, based on the Wholesale Price Index (WPI), turned positive after two months and rose 0.52 per cent in August, as prices of food articles and manufactured items inched up, according to the latest government data released on Monday. The WPI inflation had stood at (-) 0.58 and (-) 0.19 per cent in July and June, respectively. It was 1.25 per cent in August last year.
“Positive rate of inflation in August 2025 is primarily due to an increase in prices of food products, manufacturing, non-food articles, non-metallic mineral products and transport equipment etc,” the industry ministry said in a statement.
According to the WPI data, deflation in food articles was 3.06 per cent in August, as against a deflation of 6.29 per cent in July, with vegetables witnessing a spike in prices. Deflation in vegetables was 14.18 per cent in August, as against 28.96 per cent in July.
In the case of manufactured products, inflation was higher at 2.55 per cent in August, as against 2.05 per cent in the month before.
Fuel and power saw a negative inflation or deflation of 3.17 per cent in August, as against 2.43 per cent in July.
The Reserve Bank of India (RBI), which takes into account retail inflation, had kept benchmark policy rates unchanged at 5.5 per cent last month.
Meanwhile, India’s retail inflation, based on the Consumer Price Index (CPI), in August 2025 rose slightly to 2.07 per cent. This is the first uptick in CPI inflation after 10 consecutive months of decline. In the previous month of July 2025, the retail inflation had stood at an eight-year low of 1.61%. The inflation based on consumer price index (CPI) was 3.65 per cent in August 2024.
An increase in retail inflation and food inflation in August 2025 was mainly attributed to increase in inflation of vegetables, meat and fish, oil and fats, personal care, and egg.
The Reserve Bank has been mandated by the government to ensure inflation remains at 4 per cent with a margin of 2 per cent on either side.
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h…Read More
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h… Read More
September 15, 2025, 13:41 IST
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