Retail inflation drops to 3-month low of 5.17% in March

It was 8.25 per cent in March last year.

The easing prices of milk, vegetables and fruits brought down the overall food inflation. Photo: M. Prabhu

Easing of food prices, mainly milk and vegetables, pulled down the March retail inflation to 3-month low of 5.17 per cent.

The retail inflation as measured by Consumer Price Index was 5.37 per cent in February, and 5.19 per cent in January.

It was 8.25 per cent in March last year.

The easing prices of milk, vegetables and fruits brought down the overall food inflation to 6.14 per cent in March, from 6.79 per cent recorded in February.

Inflation declined for ‘cereals and products’, although it was up in the case of protein rich items like ‘meat and fish’, as per the government data released today.

The rate of price rise in the food and beverages segment as a whole was 6.2 per cent in March, lower than 6.76 per cent in the previous month.

The CPI-based retail inflation has been calculated with a new base year of 2012.

Inflation in the fuel and light segment was 5.07 per cent last month, up from 4.72 per cent in February.

In the housing segment, inflation was 4.77 per cent last month, as compared to 4.98 per cent.

For the rural segment, the overall retail inflation was 5.58 per cent in March and 4.75 per cent for urban centres.

To calculate the CPI, price data are collected from selected towns by the field operations division of NSSO and from selected villages by the Department of Posts.