Retail inflation dips to multi-year low of 0.25% in October

Food inflation plunges to –5.02%, with prices of oils, vegetables and cereals seeing broad-based decline
| Photo Credit:
REUTERS/AMIT DAVE
Retail inflation based on Consumer Price Index (CPI) in October dipped to 0.25 per cent, government reported on Wednesday. This is lowest print in the current series i.e., base year 2012.
“Impact of reduction in GST visible across all sectors,” a statement issued by the Statistics Ministry said. Further it said that headline number October recorded decline of 119 basis points as compared to September.
Key highlights
– The year-on-year (y-o-y) inflation rate based on All India Consumer Food Price Index (CFPI) for October 2025 stood at (-)5.02 per cent. Corresponding inflation rates for rural and urban are (–) 4.85 per cent and (- )5.18 per cent, respectively. All India inflation rates for CPI (General) and CFPI over the last 13 months are shown below. A decrease of 269 basis points is observed in food inflation in October in comparison to September.
– The decline in headline inflation and food inflation during the month of October is mainly attributed to full month’s impact of decline in GST, favourable base effect and drop in inflation of oils and fats, vegetables, fruits, eggs, footwear, cereals and products, transport and communication, etc.
– A decrease in headline and food inflation was seen in the rural sector in October 2025. Headline inflation was (-) 0.25 per cent in October and (-) 1.07 per cent in September. The CFPI-based food inflation in rural sector is observed as (-) 4.85 per cent (Provisional) in October in comparison to (-) 2.22 per cent in September
– A decrease from 1.83 per cent in September to 0.88 per cent in October was observed in headline inflation of urban sector. The fall is also observed in food inflation from (-) 2.47 per cent in September to (-) 5.18 per cent in October.
– Year-on-year Education inflation rate for October is 3.49 per cent. The corresponding inflation rate for September was 3.44 per cent.
– Year-on-year health inflation rate for October is 3.86 per cent as against 4.39 per cent in September.
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Published on November 12, 2025