October CPI inflation drops to 0.25 % and Food inflation declines to -5.02 %. Government noted that CPI data indicates the impact of reduction in GST is visible across all sectors.
“The decline in headline inflation and food inflation during the month of October, 2025 is mainly attributed to full month’s impact of decline in GST, favorable base effect and to drop in inflation of Oils and fats, Vegetables, Fruits, Egg, Footwear, Cereals and products, Transport and Communication etc.” the government release noted.
Key highlights
Retail inflation was the lowest on record in the current data series which began in 2015 and uses 2012 price levels as a reference point. The CPI inflation was 1.4% in september and 6.21 in October last year.
Rural inflation came in at -0.25%, compared with -1.07% in September. Food prices in rural areas also fell and stood at –4.85%.
In urban areas, retail inflation moderated to 0.88% in October from 1.83% in September. Urban food inflation dropped steeply to -5.18%, indicating a widespread fall in essential food prices.
Housing inflation in urban stood at 2.96%, compared with 2.98% a month earlier. Education inflation inched up marginally to 3.49% from 3.44% in September, while health inflation eased to 3.86% from 4.39%.
Transport and communication inflation fell to 0.94%, down from 1.82% in the previous month. Meanwhile, fuel and light inflation remained steady at 1.98%.