India’s Wholesale Inflation Dips to -0.13% in June on Food & Fuel Drop

Current Context: India’s Wholesale Price Index (WPI) inflation for June 2025 fell to -0.13%, marking the first negative reading since October 2023, as per data released on July 14, 2025 by the Ministry of Commerce & Industry.

Key Drivers of Decline

• Food articles: Deflation of 3.75%, with vegetables plunging 22.65%
• Fuel & power: Deflation of 2.65%, led by a 9.10% drop in electricity prices
• Manufactured products: Inflation eased to 1.97%, down from 2.04% in May
• Primary articles: Contracted by 3.38%, despite a slight month-on-month index rise

This broad-based moderation reflects easing cost pressures across sectors, supporting the RBI’s recent rate cut and its FY26 inflation forecast of 3.7%.

Question:

Q.1 What was the Wholesale Price Index (WPI) inflation for India in June 2025?
a) 0.65%
b) 0.00%
c) -1.25%
d) -0.13%

Answer: d) According to data released by the Ministry of Commerce & Industry on July 14, 2025, India’s WPI inflation for June 2025 declined to -0.13%, marking a return to deflationary territory after a gap of nearly 20 months (since October 2023).