Retail inflation inches up to 2.92% in April due to spike in food prices

India's retail inflation rose marginally in April to 2.92 per cent mainly due to spike in food prices.

The inflation based on Consumer Price Index (CPI) 2.86 per cent in the previous month and 4.58 per cent in April 2018, said the data released by the Central Statistics Office (CSO).

As per the data, the inflation in the food basket was 1.1 per cent in April, up from 0.3 per cent in March.

The Reserve Bank of India mainly factors in the CPI-based inflation while arriving at its monetary policy.

Wholesale price-based inflation rose for the second consecutive month to 3.18 per cent in March on costlier food and fuel, the government data released showed. The Wholesale Price Index (WPI) based inflation was at 2.93 per cent in February. It was 2.74 per cent in March 2018. Inflation in food articles hardened with steep rise in prices of vegetables during March 2019.

Vegetables inflation was at 28.13 per cent in March, up from 6.82 per cent in the previous month. However, inflation in potato cooled substantially to 1.30 per cent, from 23.40 per cent in February.

Inflation in food articles basket was 5.68 per cent during March.