
India's wholesale price inflation rose to 0.83% in December 2025, marking an eight-month high and reversing two months of deflation, driven by increases in manufacturing, minerals, machinery, food products, and textiles. Food inflation stabilized at 0%, with deflation easing in vegetables and other food articles. Fuel and power sectors remained in deflation. Retail inflation also rose to 1.33% in December. Economists attribute the rise to narrowing food deflation, higher manufacturing costs, global commodity prices, and currency depreciation, with expectations of continued modest inflation increases.
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