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Retail Inflation Touches Three-Month High in December on Costlier Vegetables and Protein Items

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New Delhi: Retail inflation rose to a three-month high of 1.33 per cent in December 2025, driven mainly by an increase in prices of kitchen essentials such as vegetables and protein-rich food items, according to official data released on Monday.

The inflation rate, measured by the Consumer Price Index (CPI), had stood at 0.71 per cent in November. The previous highest level in recent months was recorded in September at 1.44 per cent.

Despite the rise in overall inflation, food inflation remained in the negative zone for the seventh consecutive month, though it moderated to (-) 2.71 per cent in December from (-) 3.91 per cent in November.

The National Statistics Office (NSO) said the increase in headline inflation during December was largely due to higher inflation in categories such as personal care and effects, vegetables, meat and fish, eggs, spices, pulses and related products.

“An increase in inflation of personal care and effects, vegetables, meat and fish, egg, spices and pulses and products contributed to the rise in headline inflation and food inflation during December 2025,” the NSO said while releasing the CPI data.

Notably, retail inflation continued to remain below the Reserve Bank of India’s lower tolerance limit for the fourth consecutive month. The central bank is mandated by the government to maintain inflation at 4 per cent, with a tolerance band of 2 per cent on either side.

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