September Retail Inflation Reaches Nearly Two-Year High of 5.54% Due to Rising Food Prices
Retail inflation in India surged to 5.54% in September, up from 4.83% in August, edging closer to the Reserve Bank of India’s upper tolerance limit of 6%. The increase was primarily driven by a significant rise in food prices, which climbed to 7.74% for the month, compared to 5.97% in August. This marks the highest inflation rate since the introduction of the new Consumer Price Index (CPI) series with a 2024 base year.
Rural and Urban Inflation Trends
The inflationary pressure was more pronounced in rural areas, where retail inflation reached 6.08%, up from 5.24% in August. In urban areas, the inflation rate rose to 4.88%, compared to 4.31% the previous month. Rural food inflation stood at 8.06%, while urban food inflation was recorded at 7.18%.
Among specific food items, onion prices saw the steepest rise, with inflation soaring to 108.09% in September from 48.78% in August. Other notable increases included ginger at 62.85%, garlic at 54.62%, and lemons at 36.41%. In contrast, potato prices were down 11.50% year-on-year, and tomato prices fell by 8.62%.
Sector-Specific Inflation Rates
Beyond food, inflation in restaurants and accommodation services reached 9.36%. The personal care and miscellaneous goods and services category saw a rise of 13.75%. Inflation in food and beverages was recorded at 7.36%, while health services experienced a modest increase of 1.40%. Housing-related costs, including water, electricity, and gas, registered inflation of 2.74%.
Among states and Union territories, Puducherry reported the highest combined inflation at 6.86%, followed closely by Tamil Nadu at 6.81%, Odisha at 6.70%, Madhya Pradesh at 6.68%, and Telangana at 6.64%. The September figures are provisional, with the next CPI release scheduled for November 12.
Observer Voice is the one stop site for National, International news, Sports, Editor’s Choice, Art/culture contents, Quotes and much more. We also cover historical contents. Historical contents includes World History, Indian History, and what happened today. The website also covers Entertainment across the India and World.
Follow Us on Twitter, Instagram, Facebook, & LinkedIn
