Arya News - India’s wholesale inflation accelerated marginally in August 2026, with the Wholesale Price Index (WPI)-based inflation rate rising to 9.92 per cent from 9.78 per cent in July, according to provisional data released by the Ministry of Commerce and Industry.
NEW DELHI – India’s wholesale inflation accelerated marginally in August 2026, with the Wholesale Price Index (WPI)-based inflation rate rising to 9.92 per cent from 9.78 per cent in July, according to provisional data released by the Ministry of Commerce and Industry.
The latest reading comes under the new WPI series, which uses 2022-23 as the base year. The All Commodities WPI increased to 110.8 in August from 110.0 in July, indicating a broad-based rise in wholesale prices.
The increase in headline WPI inflation was largely driven by higher price pressures in the Fuel and Power and Manufactured Products segments.
Fuel and Power inflation jumped to 22.93 per cent in August, compared with 20.05 per cent in July. Manufacturing inflation also moved higher, reaching 8.37 per cent from 8.29 per cent.
In contrast, inflation in Primary Articles moderated during the month. The segment recorded inflation of 7.76 per cent in August, down from 8.52 per cent in July. Its index, however, increased to 118.1 from 117.2.
The sharpest pressure came from the energy basket. Inflation in mineral oils, including petroleum products, climbed to 38.48 per cent in August, compared with 32.40 per cent a month earlier.
Wholesale inflation in crude petroleum and natural gas also surged to 34.41 per cent from 26.99 per cent in July. Electricity, meanwhile, moved into deflation, with prices falling 1.73 per cent year-on-year, compared with a 1.09 per cent increase in July.
The higher fuel costs are significant because energy prices can feed into transportation, logistics, manufacturing and, ultimately, consumer prices across several parts of the economy.
The WPI Food Index recorded inflation of 7.05 per cent in August, up from 6.65 per cent in July. The index includes food articles under Primary Articles as well as manufactured food products.
Within Primary Articles, inflation in food articles increased to 5.67 per cent from 5.44 per cent. Non-food articles, however, saw inflation ease sharply to 14.79 per cent from 17.66 per cent, while mineral inflation declined to 8.24 per cent from 13.28 per cent.
The manufacturing segment also witnessed increased price pressures in food-related products. Inflation in the manufacture of food products rose to 9.65 per cent in August, compared with 8.89 per cent in July.
Within Manufactured Products, inflation in chemicals and chemical products increased to 14.30 per cent from 13.12 per cent. This suggests continued cost pressure in an important input-heavy segment of the manufacturing economy.
Inflation in basic metals, however, moderated to 10.88 per cent from 12.56 per cent in July.
The Commerce Ministry said mineral oils, food articles, manufactured food products, basic metals, non-food articles, and chemicals and chemical products were among the key contributors to the overall movement in wholesale prices during August.
The latest WPI data point to continued wholesale price pressure, particularly from energy and industrial inputs, even as some components, such as Primary Articles and basic metals, showed signs of moderation.