New Delhi, Dec 12 (UNI) Easing of food prices, especially vegetables, the retail inflation eased to 5.48 percent in the month of November 2024 from 6.21 percent in the previous month, according to Consumer Price Index data released by the government on Thursday.
During the month of November 2024, a significant decline in inflation is observed in the Vegetables, Pulses & Products, Sugar & Confectionary, Fruits, Eggs, Milk and Products, Spices, Transport & Communication, and Personal Care & Effects subgroups, the Ministry of Statistics & Programme Implementation said in a statement.
According to data, the inflation in the food basket reduced to 9.04 percent in November. It was 10.87 percent in October and 8.70 percent in November 2023.
The CPI-based headline inflation increased from an average of 3.6 percent during July-August to 5.5 percent in September and further to 6.2 percent in October 2024, the highest in more than a year since September 2023.
Last week, the Reserve Bank of India, while announcing the bi-monthly credit policy, had raised the inflation projection for the current fiscal year to 4.8 percent from 4.5 percent. Though it had retained the key rates unchanged, keeping in mind the inflation, it reduced the Cash Reserve Ratio (CRR) by 50 basis points to ensure enough liquidity in the system.
The RBI had observed that the lingering food price pressures are likely to keep headline inflation elevated in the December quarter. Consumer price index (CPI)-based headline inflation increased from an average of 3.6 percent during July-August to 5.5 percent in September and further to 6.2 percent in October 2024.
According to the Ministry, it can be observed that after December 2023, the inflation rate for both CPI (General) and CFPI was declining, reaching its lowest point in July 2024. However, from August 2024 to October. 2024, an increasing trend was observed. Thereafter, in November, 2024, inflation is again declining. The decline in inflation in November 2024 is mainly due to the decline in inflation in the “food & beverages” group.
Year-on-year Housing inflation rate for the month of November, 2024, is 2.87%. The corresponding inflation rate for the month of October, 2024, was 2.81%. The housing index is compiled for the urban sector only.
The top five items showing the highest year-on-year inflation at the all-India level in November 2024 are garlic (85.14), potato (66.65), cauliflower (47.70), cabbage (43.58), and coconut oil (42.13). The key items having the lowest year-on-year inflation in November 2024 are jeera (-35.04), ginger (-16.96), LPG-excluding conveyance (-10.24), and dry chillies (-9.73), the government said.
