Relief for Consumers: Wholesale Inflation Falls to 2.05% in March

Business News. The month of March has been a relief for Indian consumers. The country's wholesale inflation rate (WPI) has come down to 2.05 percent in March 2025, which was 2.38 percent in February. These figures have been released by the Ministry of Commerce and Industry. This decrease in inflation has been recorded due to the fall in the prices of food and drink.

The decline in vegetable prices assumed the situation

According to the wholesale price index, the food inflation fell from 3.38 percent of February to 1.57 percent in March. The main reason for this was a sharp decline in the prices of vegetables, causing the burden on the common man's pocket slightly. The prices of other food and drink products also saw a slight softening.

Why inflation increased on an annual basis?

However, if seen on the basis of year-on-year, then there has been an increase in wholesale inflation. In March 2024, this rate was only 0.26 percent, while in March 2025 it reached 2.05 percent. According to the ministry, this growth is due to the increase in prices of food items, electricity, textiles and other manufactured goods.

Minor increase in fuel and electricity, impact on construction sector

Fuel and electricity inflation in March also increased slightly to 0.20 percent, which was 0.71 percent in February. Although it has got some relief, the inflation rate of construction products has increased to 3.07 percent, which was 2.86 percent in February. This may directly affect small industries and construction works.

What is the way forward?

Experts believe that if the prices of food items remain under control and the global prices of fuel persist, then further improvement in inflation is possible in the coming months. But if there is a summer weather or international market instability, this relief can prove to be short -lived.