FX.co ★ India Wholesale Inflation Below Forecasts

India’s wholesale prices rose 9.78% year-on-year in July 2026, easing slightly from June’s 9.87% increase—which had been the fastest pace since September 2022—and coming in below market expectations of 9.95%. This was the mildest wholesale inflation reading since April, reflecting softer gains in both food and fuel prices amid easing global oil prices. The figures are based on the new 2022–23 base year, which has replaced the earlier 2011–12 series.

Fuel inflation moderated sharply to 20.05% in July from 27.41% in June, largely due to slower increases in mineral oil prices (32.4% vs. 46.48%) and in crude petroleum and natural gas (26.99% vs. 34.75%). Food inflation edged down to 5.44% from 5.49% in June, the lowest rate in three months, as prices of food articles also eased slightly (5.44% vs. 5.49%).

By contrast, wholesale inflation in manufactured products accelerated to 8.29% in July from 7.48% in June, the fastest pace since June 2022. The uptick was driven mainly by higher price pressures in tobacco products (13.36%), chemicals and chemical products (13.12%), basic metals (12.56%), textiles (12.80%), and rubber and plastics (10.38%).