Retail Inflation Flat In April But Food Prices Spike 4.2% As Iran War Crisis Weighs

Food inflation has risen by 4.2% in April, as against 3.87% in March.

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India's retail inflation or Consumer Price Index (CPI)-based inflation rose by 3.48% year-on-year in April 2026, according to data released by the Ministry of Statistics and Program Implementation (MoSPI) on Tuesday.

The inflation remained steady in the month under review, as March had recorded an inflation rate of 3.4%. Even as the inflation has increased only marginally compared to March, it has touched the highest level in 13 months. 

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Despite the uptick, retail inflation continues to remain within the RBI's medium-term target of 4%.

In February it was recorded at 3.21%, as per data compiled under the new CPI series, where the base year was revised to 2024 from 2012.

However, food inflation, measured by the Consumer Food Price Index (CFPI), has risen by 4.2% in April  from 3.87% in March. Inflation in food and beverages also increased to 4.01% from 3.71% in the previous month.

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Urban inflation edged up to 3.16% from 3.11% in March. Similarly, rural inflation rose to 3.74% from 3.63% in the previous month.

Housing, water, electricity, gas, and other fuel prices stood at 1.71%, lower than 1.97% in March. Inflation in clothing and footwear prices was recorded at 2.80%, while prices for intoxicants such as paan and tobacco rose sharply from 4.23% in March to 4.76% in April. 

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Among other categories, health inflation eased to 1.64% from 1.75% in March, while furnishing and household equipment inflation rose to 1.61% from 1.39%. Information and communication inflation increased to 0.50% from 0.33%, and transport inflation slipped to -0.01% from 0.00%.

Educational services inflation moderated to 3.15% from 3.30%, while recreation, sport, and culture inflation eased to 2.11% from 2.28%. Restaurants and accommodation services inflation accelerated sharply to 4.20% from 2.88% in March.

Personal care and miscellaneous inflation remained elevated at 17.66%, though lower than 18.65% in the previous month.

Prices of peas/chikpeas, potatoes and onions are the least inflated, whereas prices have ticked upwards for cauliflower and tomatoes. 

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