According to data released by the Commerce Ministry on Tuesday, wholesale inflation in India, as determined by the Wholesale Price Index (WPI), decreased from 0.52% in August to 0.13% in September on an annual basis.

Key Highlights

• India's wholesale inflation drops to 0.13% in September from 0.52% in August, driven by falling food and fuel prices.
• Vegetable prices plummet 24.4%, with onions and potatoes leading the decline; fuel prices also decrease.

"The positive rate of inflation in September 2025 is primarily due to the increase in prices of manufacturing of food products, other manufacturing, non-food articles, other transport equipment, and textiles," the government stated in a press release.

Compared to September's 0.21% annual growth, wholesale food inflation decreased 1.99%. In September 2025, the fuel and power segment's inflation rate was -2.58%, compared to 3.17% in August.

The inflation rate for the primary articles segment decreased by 3.32% in September compared to 2.10% in the previous month.

Also Read: India's WPI Inflation Climbs to 0.52% in Aug on Rising Food Costs

The government also released retail inflation data in September, which decreased to 1.5% year-over-year, the lowest level since June 2017. A major factor in this decline was the drop in food prices.

After 1.6% in July, this is the second consecutive period of muted price growth as the retail inflation rate stays below the Reserve Bank of India's target range of 2-6%.

Overall, the data shows that price pressures in both the wholesale and retail segments have continued to moderate.