Retail inflation rises to 0.71% in November, was 0.25% in October

India's retail inflation, as measured by the Consumer Price Index (CPI), showed a marginal uptick in November 2025, rising to 0.71% compared to the same month last year, according to provisional data released on Friday. This figure marks a noticeable increase of 46 basis points over the 0.25% recorded in October, signaling a mild pickup in price pressures across the economy after a period of several months characterized by subdued readings.

The primary factors driving this increase were higher prices observed across several essential categories. The uptick was mainly attributed to rising costs for vegetables, eggs, meat and fish, spices, and the 'fuel and light' segment. This broad-based pressure on perishable goods and energy costs effectively counteracted any moderating influences on overall price levels during the month.

Despite the overall inflation rise, food inflation technically remained in deflationary territory for the sixth consecutive month. However, the pace of decline narrowed sharply, indicating underlying price strength. The Consumer Food Price Index (CFPI) registered a contraction of 3.91% in November, a significant narrowing compared to the much steeper 5.02% fall recorded in October. This narrowing of food deflation by 111 basis points suggests that essential commodities, particularly perishable items, became notably costlier during November, with rural food inflation at -4.05% and urban food inflation at -3.60%.