India’s wholesale inflation lands to 2.05% in March on falling food prices

India’s wholesale inflation eased to 2.05% in March, down from 2.38% in February, primarily driven by a sharp decline in food prices, according to official data released on Tuesday.
Despite the monthly drop, the wholesale price index (WPI) based inflation showed a significant year-on-year rise compared to just 0.26% in March 2024.
“The positive rate of inflation in March 2025 is primarily due to the increase in prices of manufactured food products, other manufacturing items, food articles, electricity, and textiles,” the Ministry of Commerce and Industry said in a statement.
Food inflation notably dropped to 1.57% in March from 3.38% in February. The steepest decline was seen in vegetable prices, which recorded a deflation of 15.88%, compared to 5.80% the previous month.
On the other hand, inflation in manufactured products rose to 3.07% in March, up from 2.86% in February, indicating stronger pricing pressures in the industrial sector.
Fuel and power categories also witnessed an uptick in inflation, registering a marginal rise of 0.20% in March, reversing a deflationary trend of 0.71% observed in February.
“The index for this major group decreased by 0.91% to 152.4 (provisional) in March, 2025 from 153.8 (provisional) for the month of February, 2025. Price of electricity (-2.31%) and mineral oils (-0.70%) decreased in March, 2025 as compared to February, 2025. The price of coal remained same as in the previous month,” the release stated.
Who releases WPI data? The Department for Promotion of Industry and Internal Trade (DPIIT) under Ministry of Commerce and Industry releases the Wholesale Price Index (WPI) for India on a monthly basis, typically on the 14th of each month. If the 14th falls on a holiday, the data is released on the next working day. The index is compiled with a two-week lag from the reference month, using data collected from institutional sources and selected manufacturing units across the country.
This press release includes the WPI (Base Year 2011-12=100) for the month of March 2025 (Provisional), January 2025 (Final), and other relevant months and years. Provisional WPI figures are finalized after 10 weeks from the reference month and are then considered final thereafter.