NEW DELHI: India’s retail inflation eased further in April 2025, marking its lowest level in nearly six years. According to data released by the Ministry of Statistics and Programme Implementation (MoSPI), the Consumer Price Index (CPI)-based inflation stood at 3.16% in April, down from 3.34% in March 2025 and significantly lower than 4.83% recorded in April 2024.

This decline of 18 basis points from March makes April’s inflation the lowest year-on-year reading since July 2019.

The fall in overall inflation was primarily driven by a sharp decline in food prices. The Consumer Food Price Index (CFPI)-based food inflation fell to 1.78% in April from 2.69% in March. This is the lowest food inflation since October 2021. The food price easing is largely attributed to lower inflation in vegetables, pulses, fruits, cereals, meat and fish, and personal care items.

In rural areas, headline inflation fell to 2.92% from 3.25% in the previous month. Food inflation in these regions also moderated to 1.85%, down from 2.82%. Urban centres saw a more modest decline in overall inflation, with the April reading at 3.36% compared to 3.43% in March. However, urban food inflation saw a steeper drop to 1.64%, from 2.48% a month earlier.

Among individual components, housing inflation in urban areas remained steady at 3.00%, while the education category saw prices rise by 4.13%, up from 3.98% in March. Health inflation remained largely unchanged at 4.25%. Transport and communication costs rose to 3.73% in April, compared to 3.36% in the previous month. The fuel and light category registered a sharp increase, rising to 2.92% from 1.42% in March.

On a month-on-month basis, the combined CPI index rose by 0.31%, while the food index registered a decline of 0.15%, indicating falling prices in essential food items. Among major food components, vegetable prices fell by 10.98% year-on-year, while the prices of pulses and related products also declined. Fruit prices rose by 13.8%, and oils and fats registered a surge of 17.4%.

The National Statistical Office (NSO) collected price data from 1,114 urban markets and 1,181 villages, ensuring full coverage in rural areas and nearly full coverage in urban locations. The usable data stood at 89.4% for rural and 92.3% for urban markets.

The next CPI inflation data, for May 2025, is scheduled to be released on June 12.