The annual rate of inflation based on the All India Wholesale Price Index (WPI) rose to 3.88 per cent in March, according to the data released by the Ministry of Commerce and Industry on Wednesday. The wholesale inflation in February stood at 2.13 per cent. The rise in wholesale prices is mainly driven by an increase in prices of crude petroleum & natural gas. “Positive rate of inflation in March, 2026 is primarily due to an increase in prices of crude petroleum & natural gas, other manufacturing, non-food articles, manufacture of basic metals and food articles, etc.,” the Ministry of Commerce & Industry said.
Inflation of 6.36 per cent
Primary articles (weight: 22.62 per cent) registered inflation of 6.36 per cent, with a strong month-on-month increase of 2.28 per cent, largely led by a sharp rise in crude petroleum & natural gas prices.ย
Similarly, fuel & power (weight: 13.15 per cent) turned positive at 1.05 per cent, compared to negative inflation in preceding months, reflecting a jump in energy prices due to geopolitical tensions.ย
Also, manufactured products (weight: 64.23 per cent) recorded inflation of 3.39 per cent, indicating sustained cost pressures in industrial goods, with 16 out of 22 groups witnessing price increases.ย ย
โThe sharp increase in WPI inflation in March 2026 over March 2025 reflects a more broad-based strengthening in price momentum driven by a jump in energy-related components and manufactured products, alongside a reversal of earlier softness in key primary commodities,” said Rajeev Juneja, President, PHDCCI.
On a sequential basis, the WPI index (all commodities) recorded a month-on-month increase of 1.64 per cent in March 2026, compared to 0.38 per cent in February 2026, suggesting a sharp acceleration in price momentum during the month, he added.ย
Regarding the specific movement of food costs, the Ministry noted that “The Food Index consisting of ‘Food Articles’ from Primary Articles group and ‘Food Product’ from Manufactured Products group have marginally decreased from 192.9 in February, 2026 to 192.8 in March, 2026.”
ALSO READย |ย LIC Bonus Issue: Good news for shareholders as board approves 1:1 bonus issuance, check details