New Delhi, Oct 22
The retail inflation rate for farm and rural workers reached 6.36 per cent and 6.39 per cent in the month of September, compared to 6.70 per cent and 6.55 per cent in the same month last year, the government said on Tuesday.
The corresponding figures for August were 5.96 per cent for agricultural labourers and 6.08 per cent for rural labourers, according to the Labour Ministry data.
The All-India Consumer Price Index for Agricultural Labourers (CPI-AL) and Rural Labourers (CPI-RL) registered an increase of 7 points each in September, reaching levels of 1304 and 1316, respectively.
Meanwhile, the CPI inflation jumped 5.49 per cent in the month of September, up from 3.65 per cent in August, due to high base effect and weather conditions. During the month of September, a significant decline in inflation is observed in pulses and products, spices, meat and fish and sugar and confectionery sub-group.
According to experts, the rise in retail inflation is particularly in the aftermath of erratic monsoon patterns.
In the meantime, Reserve Bank of India (RBI) Governor Shaktikanta Das has said that the Central Bank will go a rate cut to spur growth once the inflation rate shows a durable alignment with the 4 per cent target rate.
However, with core inflation still under control, the broader inflation narrative remains primarily food-driven, said analysts. Looking ahead, inflation is expected to average around 4.5 per cent for FY25, with RBI maintaining a cautious stance on monetary policy.
The retail inflation for the current fiscal (FY25) is projected at 4.5 per cent due to healthy monsoon and sound supply conditions. The food inflation is likely to decrease later in the year, supported by a solid stock of essential commodities.