India's retail inflation rises to 3.4% in March due to food prices
Retail inflation, measured by the Consumer Price Index (CPI), increased to 3.4% in March from 3.21% in February. This uptick was primarily driven by a rise in prices of certain food items, with food inflation reaching 3.87% compared to 3.47% in the previous month. Despite the increase, the overall inflation remains below the Reserve Bank of India's median target of 4%. Rural inflation stood at 3.63% and urban at 3.11%. The National Statistics Office data, based on a new 2024 base year series, noted high inflation in gold, silver, coconut, tomato, and cauliflower, while onion, potato, garlic, and pulses saw negative inflation.
Key Points
- Retail inflation in India rose to 3.4% in March 2026, up from 3.21% in February.
- The increase was mainly attributed to an uptick in prices of certain food items, with food inflation at 3.87%.
- Overall inflation remains below the Reserve Bank of India's median target of 4%.
- The data is based on the National Statistics Office's new series with a base year 2024.
- High inflation was observed in gold, silver, coconut, tomato, and cauliflower, while some staples like onion and potato saw negative inflation.
Exam Facts
- Retail inflation (CPI) in March: 3.4%.
- Food inflation in March: 3.87%.
- RBI's median inflation target: 4%.
- Base year for the new CPI series: 2024.
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