Wholesale price inflation rises to 8-month high of 0.83 pc in December
New Delhi (PTI): Wholesale price inflation increased for the second month in a row, rising 0.83 per cent in December 2025, driven by an uptick in prices of food, non-food articles, and manufactured items on a month-on-month basis, government data showed on Wednesday.
After witnessing a deflationary trend in the previous two months, the wholesale price index (WPI)-based inflation returned to positive in December. In November and October, the pace of price rise was negative at (-) 0.32 per cent and (-) 1.02 per cent, respectively.
In contrast, WPI inflation was 2.57 per cent in December 2024.
"Positive rate of inflation in December 2025 is primarily due to an increase in prices of other manufacturing, minerals, manufacture of machinery and equipment, manufacture of food products, and textiles, etc," the industry ministry said in a statement.
According to WPI data, deflation in food articles was 0.43 per cent in December, as against 4.16 per cent in November.
In vegetables, deflation was 3.50 per cent in December, compared to 20.23 per cent in November.
Barclays India Chief Economist Aastha Gudwani said narrowing deflation in "food articles" and a rise in inflation in "manufacturing products" drove the increase in the headline WPI inflation in December. "We expect modest increases in WPI inflation to continue".
In case of manufactured products, WPI inflation inched up to 1.82 per cent from 1.33 per cent in November 2025.
The non-food articles category showed an inflation of 2.95 per cent in December, against 2.27 per cent in November.
Negative inflation or deflation continued in the fuel and power sectors, at 2.31 per cent in December, against 2.27 per cent a month ago.
ICRA Senior Economist Rahul Agrawal said led by the hardening in YoY food inflation owing to an unfavourable base, rise in global commodity prices, and sustained pressure on the USD/INR pair over the past few months, ICRA expects the YoY WPI inflation to rise to 1.5 per cent in January, the highest level in 10 months.
Data released earlier this week showed the country's retail inflation inching up to 1.33 per cent in December, from 0.71 per cent in November, driven by rising food prices.
The Reserve Bank of India (RBI) has reduced policy interest rates by 1.25 percentage points in the current fiscal year as inflation remained low.
The Reserve Bank, last month, significantly lowered the inflation projection for the current fiscal to 2 per cent from 2.6 per cent estimated earlier, as the economy continues to witness rapid disinflation.
The RBI mainly tracks retail inflation for deciding on benchmark interest rates.
Last month, the RBI cut key policy interest rates by 25 bps to 5.25 per cent, saying that the Indian economy is in a "rare Goldilocks period" marked by high growth and low inflation.
The Reserve Bank has raised its FY26 GDP growth projection to 7.3 per cent, from an earlier estimate of 6.8 per cent. India recorded an 8.2 per cent growth in the September quarter, and 7.8 per cent in the June quarter.
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India asks its nationals in Iran to leave by available means
New Delhi (PTI): India on Wednesday asked all its nationals residing in Iran to leave by available means and avoid any travel to the country as tensions mounted over possible military intervention by the US over Tehran's crackdown on nationwide protests that killed over 2,500 people.
In a fresh advisory, the Indian embassy in Tehran urged all Indians, including students, pilgrims, business persons and tourists, to leave Iran by available means of transport, including commercial flights.
According to estimates, a little over 10,000 Indians, including students, are currently living in Iran.
The mission also urged all Indian citizens and PIOs (Persons of Indian Origin) to exercise due caution, avoid areas of protests or demonstrations and stay in contact with the embassy.
It also urged the Indian nationals to have their travel and immigration documents, including passports, readily available. Indians living in Iran on resident visas were also advised to register with the embassy.
In case any Indian national is unable to register due to internet disruptions in Iran, their families in India are requested to do so, the mission said.
"In view of the evolving situation in Iran, Indian nationals who are currently in Iran (students, pilgrims, business persons and tourists) are advised to leave Iran by available means of transport, including commercial flights," the embassy said.
India's advisory came amid rising tensions in Iran and the region after Trump indicated military action if Tehran continues its crackdown on the protesters.
"If they hang them, you're going to see some things... We will take very strong action if they do such a thing," the US president told CBS News.
In a message to the protesters, Trump said on Tuesday that "help is on the way". The US president has already announced a 25 per cent tariff on countries having trade with Tehran.
The protests began late last month in Tehran after the Iranian currency rial plunged to record lows. The protests have since spread to all 31 provinces, evolving from an agitation against economic woes to a demand for political change.
Separately, the Ministry of External Affairs (MEA) advised Indians to avoid travelling to Iran.
In view of the ongoing developments in Iran, Indian nationals are once again strongly advised to avoid travel to the Islamic Republic of Iran until further notice, it said.
In a previous advisory issued on January 5, the MEA urged its nationals to avoid non-essential travel to Iran.
It had also asked Indian citizens and PIOs residing in Iran to exercise due caution and avoid visiting areas of protests.
The overall situation in Iran in the last few days has deteriorated dramatically as the death toll from the nationwide protests has increased to over 2,500, according to US-based Human Rights Activists News Agency (HRANA).
