Retail Inflation Cools To 6 83 Food Inflation Falls To 9 94

Top Stories

Company

L&T Partners with PS Technology to Revolutionise Railways

6 mins read. August 2, 2024 at 12:45 PM

Company

Jindal Saw Q1 FY24 PAT Rises 67% to Rs 441 Cr

4 mins read. August 2, 2024 at 12:41 PM

Company

Pfizer Q1 FY25 PAT Zooms 61% to Rs 151 Cr

4 mins read. August 2, 2024 at 12:36 PM

Stock chart

Retail Inflation cools to 6.83%, Food Inflation falls to 9.94%

ri-calendar-2-lineSep 13, 2023

By: BlinkX Research Team

FbkFbkTwitterTelegram

In August, India's consumer price inflation (CPI) dropped to 6.83% from 7.44% in July. This was mainly due to lower food prices, with food inflation decreasing from 11.51% in July to 9.94% in August. However, the inflation rate is still higher than the Reserve Bank of India's (RBI) acceptable limit of 6% for the second consecutive month.

 

Aditi Nayar, Chief Economist at ICRA, predicts that CPI inflation will be around 5.3-5.5% in September 2023, resulting in an average of 6.6% for the second quarter of fiscal year 2024. She expects the RBI's Monetary Policy Committee (MPC) to maintain the status quo in October 2023, being cautious due to uncertain factors like food inflation and high crude oil prices.

 

The decrease in CPI inflation was primarily driven by lower prices of vegetables, meat, eggs, and fish. Some moderation was observed in clothing, footwear, housing, and miscellaneous items. However, the prices of cereals, milk, fruits, and spices rose notably in August compared to July.

 

Among food items, the inflation rate for vegetables fell from 37.4% in July to 26.1% in August 2023, contributing significantly to the overall decline in CPI inflation.

 

Despite the temporary drop in tomato prices, the outlook for food inflation remains uncertain due to factors like onion prices and delayed sowing of certain crops. Adequate rainfall in September could help protect crop yields, but reservoir levels suggest a potentially delayed start to winter crop sowing.

Related News

News Thumbnail
Economy

The ₹2000 banknote withdrawal: Where we stand

3 mins read. November 3, 2023 at 08:41 AM

News Thumbnail
Economy

FOMC holds Fed Funds Rate steady with Cautionary Outlook

1 mins read. November 3, 2023 at 08:25 AM

News Thumbnail
Economy

Coal sector records 16.1% growth in September 2023: Centre

2 mins read. November 3, 2023 at 04:09 AM

News Thumbnail
Economy

Indian Railways achieves 87.25 MT freight loading till October 2023

1 mins read. November 2, 2023 at 04:46 AM

Related Blogs

Stock chartDemat Account

Biggest Winners and Losers in MSCI: Key Movers in Global Indices 2025

0 people read

3 mins read . Aug 20, 2025

Stock chartMutual Fund

What MF Big Boys Bought and Sold – Top Mutual Fund Stock Activity in 2025

0 people read

8 mins read . Aug 18, 2025

Download app

Access BlinkX
everywhere
across device

Join the Future of Trading

with BlinkX

#ItsATraderThing

Open Trading Account
Verify your phone
+91
*By signing up you agree to our terms & conditions