Now Reading: India’s wholesale inflation eases to 9.78% in July
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India’s wholesale inflation eases to 9.78% in July
India's wholesale price inflation eased to 9.78% in July 2026, a marginal drop from June's 9.87%, according to provisional data from the Ministry of Commerce and Industry. The decline was driven by…
The Story in Brief
India's wholesale price inflation eased to 9.78% in July 2026, a marginal drop from June's 9.87%, according to provisional data from the Ministry of Commerce and Industry. The decline was driven by cooling fuel and power inflation, which fell to 20.05% from 27.41%, and a slight moderation in food article inflation to 5.44%. However, manufactured products saw an uptick to 8.29% from 7.48%. The wholesale food index rose 6.65% year-on-year. Retail inflation inched up to 4.45% in July, and the RBI kept benchmark rates unchanged at 5.25%, projecting retail inflation at 5% for FY27 amid monsoon concerns. The ministry noted that mineral oils, food articles, basic metals, and chemicals were major inflation drivers.
The Indian Opinion
The marginal dip in wholesale inflation is being spun as relief, but the 9.78% figure remains painfully high, especially with manufactured goods inflation climbing. Attributing the small decline to fuel and food while ignoring the core pressure on basic metals and chemicals distorts the picture. The real test will be the RBI's next monetary policy decision even as retail inflation stays above its 4% target, can it hold rates when producer costs keep rising?
Sources (2): assamtribune.com, rediff.com
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
