Wholesale inflation in India showed a moderate increase in January 2026. According to data released by the Ministry of Commerce & Industry, the annual inflation rate based on the Wholesale Price Index (WPI) was 1.81 percent in January 2026. The increase in wholesale inflation was mainly driven by higher prices in the production of basic metals, other manufacturing sectors, non-food items, food items, and textiles. Among the major categories, Primary Articles recorded a year-on-year increase of 2.21 percent, while Manufactured Products, which make up the largest share of the index, rose by 2.86 percent, indicating firm factory-gate prices.
However, the Fuel and Power segment continued to experience deflation, declining by 4.01 percent, largely due to lower prices of electricity and mineral oils, which helped to contain overall inflationary pressure. The WPI Food Index, which includes food items and food products, registered a 1.41 percent increase compared to January of the previous year.
On a month-to-month basis, the overall WPI rose by 0.51 percent in January 2026 compared to December 2025, reflecting a steady increase in wholesale prices. The government has stated that these figures are provisional and subject to revision. The next set of WPI data for February 2026 will be released on March 16, 2026.
