Retail Inflation Climbs to 4.82% in August on Higher Food Prices, Silver and Onions Lead Surge
Summarized by AI; it may make mistakes. Check important info
Summarized by AI; it may make mistakes. Check important info
India’s retail inflation moved higher in August, driven primarily by an uptick in food prices and sharp increases in specific commodities, according to government data released on Monday.
The Consumer Price Index (CPI) based inflation rate rose to 4.82% during the month, up from 4.45% in July, data from the Ministry of Statistics and Programme Implementation (MoSPI) showed. The figures reflect the updated CPI series utilizing 2024 as the base year.
Rural and Urban Breakdown
The pressure on household budgets was felt across both rural and urban areas, though rural pockets bore a heavier burden. Rural inflation climbed to 5.23% in August from 4.84% in July. Meanwhile, urban inflation ticked up to 4.31%, compared with 3.96% the previous month.
The All India CPI index registered at 108.74 for August, rising from 107.95 in July. The rural index moved to 109.27 from 108.34, while the urban counterpart increased to 108.07 from 107.45. MoSPI confirmed a robust 100% response rate for price collection across both rural and urban markets during the month.
Food Inflation and Commodity Drivers
Food inflation, tracked via the Consumer Food Price Index (CFPI), increased to 5.95% in August from 5.52% in July. Rural food inflation stood higher at 6.13%, while urban food inflation was recorded at 5.64%.
At the individual item level, silver jewellery witnessed an astronomical surge, recording inflation of 107.11%. Among kitchen staples, ginger prices jumped 73.82%, and onions climbed 48.27%. Garlic inflation remained high at 43.60%, while gold, diamond and platinum jewellery registered an increase of 35.53%.
On the flip side, certain vegetables provided relief to consumers. Tomato prices dropped by 31.09%, and potatoes saw a decline of 13.14%. Other notable sectors driving the overall index included personal care, social protection, and miscellaneous goods and services, which recorded a high inflation rate of 15.17%, alongside restaurants and accommodation services at 8.38%.
Regional Variations
Among states with populations exceeding 5 million, Telangana registered the highest headline inflation at 6.27%. It was closely followed by Tamil Nadu at 5.92%, Madhya Pradesh at 5.55%, Andhra Pradesh at 5.53%, and Odisha at 5.52%.
