India's wholesale inflation, measured by the Wholesale Price Index (WPI), eased to a four-month low of 2.05% in March 2025, down from 2.38% in February.

This moderation was primarily due to a slower rise in food prices, with wholesale food inflation decreasing to 4.66% from 5.94% in the previous month. Vegetable prices notably fell by 15.88%, compared to a 5.80% drop in February.

Key Points:

• India's WPI-based inflation declined to 2.05% in March from 2.38% in February.
• Wholesale food inflation moderated to 4.66% in March.
• Vegetable prices decreased by 15.88% year-on-year.
• Manufactured goods prices rose by 3.07%.
• Fuel and power prices increased by 0.20%.
• The RBI cut its key repo rate and revised India's growth forecast to 6.5%.
• The RBI cautioned about potential inflationary pressures from global uncertainties and adverse weather conditions.