India’s wholesale inflation, measured by the Wholesale Price Index (WPI), registered a marginal uptick to 0.13% in September 2025, according to data released by the Office of the Economic Adviser, Department for Promotion of Industry and Internal Trade (DPIIT) on Tuesday. The increase, albeit modest, marks the second consecutive month of positive WPI inflation following a brief deflationary phase earlier this year.
The rise was primarily driven by higher prices in manufactured food products, textiles, non-food articles, and transport equipment, offset partially by lower food and fuel prices.
Key Highlights
- WPI inflation (YoY, September 2025): 0.13%
- WPI inflation (YoY, August 2025): 0.52%
- WPI inflation (YoY, July 2025): -0.58%
- Month-over-month (MoM) change (September 2025): -0.19%
Sectoral Performance
Primary Articles (Weight: 22.62%)
The index for primary articles declined by 1.05% in September. Prices of food articles (-1.38%) and non-food articles (-1.06%) fell, while minerals (1.36%) and crude petroleum & natural gas (0.64%) recorded increases.
Year-on-year, the primary articles group saw deflation of 3.32%, compared to -2.10% in August. Food items continued to exert downward pressure, led by vegetables (-24.41%), pulses (-17.19%), and onions (-63.79%). Milk and meat, however, showed modest inflation of 2.97% and 1.27% respectively.
Fuel & Power (Weight: 13.15%)
The fuel & power index slipped 0.14% month-on-month, as coal (-0.15%) and mineral oils (-0.54%) became cheaper. However, electricity prices rose 1.20%.
On an annual basis, inflation in this group stood at -2.58%, continuing its deflationary streak for the sixth straight month, reflecting subdued global crude oil prices.
Manufactured Products (Weight: 64.23%)
The largest component of the WPI basket, manufactured products, saw a 0.21% rise month-on-month, with annual inflation at 2.33%. Out of 22 manufacturing sectors, 10 saw price increases.
Notable gainers included food products, electrical equipment, textiles, and non-metallic mineral products, while rubber & plastics, motor vehicles, and pharmaceuticals witnessed slight declines.
The manufacture of food products subgroup registered a healthy 4.56% inflation year-on-year, supported by higher prices in vegetable and animal oils and fats (14.50%).
Food Index Trends
The WPI Food Index, combining food articles and manufactured food products, declined from 193.5 in August to 192.0 in September. Food inflation (YoY) slipped sharply into deflation, from 0.21% in August to -1.99% in September, largely due to a steep fall in vegetable and pulse prices.
Revision and Data Reliability
The press release notes that the weighted response rate for compiling WPI data stood at 80.2% for September (provisional) and 94.7% for July (final). Revisions will be made as per the WPI revision policy, with finalization expected after 10 weeks.
Outlook
Economists suggest that while the manufacturing sector continues to show resilience, the persistent deflation in primary food articles could weigh on overall price momentum. The mild inflationary trend in manufactured goods may, however, indicate gradual normalization in supply chains and input costs.
The next WPI release, for October 2025, is scheduled for November 14, 2025.
Press Release Details
Date: October 14th, 2025
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