WPI Inflation: Wholesale inflation came down strongly in April to 0.85%, due to this relief

By Cross Talk India Team Last updated May 14, 2025

Photo: India tv Foods saw a decline of 0.86 percent in April.

In April 2025, there was a major decline in wholesale inflation (WPI) rate. It decreased to 0.85 percent in April compared to March. The government data released on Wednesday said that there was a decline in wholesale inflation due to decrease in food items, manufactured products and fuel prices. According to PTI news, the wholesale price index based inflation was 2.05 percent in March. It was 1.19 percent in April last year.

Positive rates are due to these reasons

According to the news, the Ministry of Industries said in a statement that the positive rate of inflation in April 2025 is mainly due to manufacturing food products, other manufacturing, chemicals and chemical products, manufacturing of other transport equipment and the increase in prices of machinery and equipment etc. According to the bulk price index data, food items saw a decline of 0.86 percent in April, while the inflation was 1.57 percent in March, while vegetables saw a huge decline. Vegetables declined by 18.26 percent in April, compared to 15.88 percent in March.

Retail inflation reduced to 3.16 percent in April

Inflation in onion declined to 0.20 percent in April, compared to 26.65 percent in March. However, inflation was 2.62 percent in the produced products in April, compared to 3.07 percent in March. Fuel and electricity also saw a decline of 2.18 percent in April, compared to 0.20 percent in March. The RBI mainly takes into account retail inflation when creating monetary policy. The data released on Tuesday has shown that retail inflation declined to 3.16 percent in April, due to the softening of the prices of vegetables, fruits, pulses and other protein -rich items. This is the lowest level of inflation since July 2019.

Interest rate may be and deduction

A decrease in inflation will make enough scope for the Reserve Bank to pursue another round of rate cuts in the monetary policy review of June. In April, the RBI cut the benchmark policy rate by 0.25 percent to 6 percent. This is the second cut to encourage the economy during the year, facing the threat of a US mutual tariff. RBI is estimated to have retail inflation an average of 4 percent in the current financial year, while the previous estimate was 4.2 percent.

Latest business news