Virendra Pandit
New Delhi: The Consumer Price Index (CPI)-based retail inflation slowed down to 5.48 percent in November from a 14-month high of 6.21 percent in October, data released by the Union Ministry of Statistics and Programme Implementation (MoSPI) said on Thursday, indicating persistent price pressures across sectors.
The media reported that the data shows higher inflation in rural areas, at 5.95 percent, compared to 4.83 percent in urban regions.
The Reserve Bank of India (RBI) aims to keep inflation within a range of 2 to 6 percent, with a medium-term target of 4 percent.
Food inflation remained high in November, although it slowed during the month, with the Consumer Food Price Index (CFPI) standing at 9.04 percent compared to 10.87 percent in October, which was driven largely by high prices of vegetables, fruits, oils, and fats.
Rural areas experienced a CFPI inflation rate of 9.1 percent, while urban regions saw a slightly lower rate of 8.74 percent.
Housing inflation increased to 2.87 percent in November from October’s 2.81 percent. The housing index is calculated only for urban areas.
India’s retail inflation peaked at 7.79 percent in April 2022 but eased after the RBI’s Monetary Policy Committee (MPC) raised rates and the government took measures to improve supplies. However, rising food prices reduced the purchasing power of lower-income households, especially affecting festive season sales this year.
Also, India’s industrial output rose to 3.5 percent in October from 3.1 percent in September, driven largely by a rebound in the manufacturing and electricity sectors.
Manufacturing output climbed to 4.1 percent in October from 3.9 percent year-on-year in September, while electricity generation grew 2 percent and mining activity increased by 0.9 percent, the government data showed.
In the April-October period, industrial output rose by 4 percent.