Consumer price inflation in India at a 6-year low of 2.10% in June
By Unnikrishnan | 14 Jul 2025
Consumer price inflation in India, based on the all-India consumer price index (CPI), hit a new low of 2.10 per cent in June 2025 - a level that was not seen for more than six years - down further from 2.82 per cent in May, provisional provisional figures released on Monday showed.
This is the lowest year-on-year inflation rate after January 2019.
Inflation rate based on the all-India consumer food price index (CFPI) declined to (-) 1.06 per cent in June 2025 while the corresponding inflation rates for rural and urban areas stood at (-) 0.92 per cent and (-) 1.22 per cent, respectively, as food prices saw a sharp decline during the month.
The significant decline in food inflation in June 2025 can be attributed mainly to lower prices of vegetables, pulses and products, meat and fish, cereals and its products, sugar and confectionery, milk and its products and spices.
Combined with a significant decline in headline inflation rate and a favourable base effect, the sharp decline in food price inflation led to a significant fall in consumer price inflation in the country.
Inflation rate for rural areas declined to 1.72 per cent in June 2025 against 2.59 per cent in May while consumer price inflation for urban areas stood at (-) 0.92 per cent during the month, down from 0.95 per cent in May.
Inflation rate for the urban areas declined to 2.56 per cent in June 2025, from 3.12 per cent in May, while food price inflation rate for the month stood at (-)1.22 per cent against 1.01 per cent in May.
Housing inflation rate for June 2025 stood at 3.24 per cent against 3.16 per cent in May 2025. (The housing index pertains solely to the urban sector).
Education inflation rate, which is based on a combined index for both rural and urban areas, for June 2025 stood at 4.37 per cent against 4.12 per cent in May.
Health inflation rate for both rural and urban areas in June 2025 stood at 4.43 per cent against 4.34 per cent in May 2025.
Inflation rate based on the transport and communication index for June 2025 stood at 3.90 per cent against 3.85 per cent in May.
Fuel and light inflation rate for both rural and urban areas stood at 2.55 per cent in June 2025 against 2.84 per cent in May.
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