India&rsquo;s Wholesale Price Index (WPI) inflation fell to a two-year low of -0.58% in July 2025, down from -0.13% in June, according to the Commerce and Industry Ministry. The decline was driven by a 2.15% drop in food prices and a 2.43% fall in fuel costs, including petrol and diesel.
This marks the fourth straight month of easing WPI inflation, aided by a favourable base effect and lower prices of pulses, vegetables, cereals, eggs, and sugar. Retail inflation (CPI) also eased to 1.55% in July, its lowest since June 2017.
The Reserve Bank of India (RBI) projects CPI inflation at 3.1% for 2025&ndash;26, citing strong monsoon progress, healthy kharif sowing, and comfortable foodgrain stocks. However, CPI is expected to rise above 4% by Q4 due to base effects and demand-side pressures.
RBI Governor Sanjay Malhotra said inflation trends have turned &ldquo;more benign than expected,&rdquo; provided there&rsquo;s no major surge in input prices.
[Except for the headline, this article has not been edited by the Benefit News editorial team and is published directly from the IANS news feed.]
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Food and fuel price drops push WPI inflation to -0.58% in July, lowest in two years

India’s WPI Inflation Hits 2-Year Low

Food and fuel price drops push WPI inflation to -0.58% in July, lowest in two years

August 14, 2025 | 19:28 IST