Retail Inflation Breaches RBI Target, Surges to 6.07%

As per the data furnished by the National Statistical Office on Monday, the Consumer Price Index (CPI) rose to 6.07 percent last month from 6.01 percent in January 2022.

(Photo: IANS)

Higher cost of food items, as well as manufactured goods like clothing and footwear, kept India's February 2022 retail inflation above the six percent mark on a sequential as well as on a year-on-year basis.

As per the data furnished by the National Statistical Office on Monday, 14 March, the Consumer Price Index (CPI) rose to 6.07 percent last month from 6.01 percent in January 2022.

Similarly, on a YoY basis, last month's retail inflation rose at a faster rate than the 5.03 percent increase in prices recorded for February 2021.

The trend assumes significance as retail inflation rate remained above the target range of the Reserve Bank of India, which has a CPI target range of 2 to 6 percent.

Rise in Consumer Food Price Index

As per the NSO data, the rate of rise in the Consumer Food Price Index, which measures the changes in retail prices of food products, increased to 5.85 percent last month from 5.43 percent in February 2021.

In terms of CPI inflation rate, pulses and products' prices jumped by 3.02 percent in February 2022 YoY. Meat and fish prices rose by 7.45 percent, eggs were dearer by 4.15 percent, and oils and fats prices rose 16.44 percent. Similarly, the overall price of food and beverages category was up 5.93 percent.

Besides, vegetable prices were up by 6.13 percent.

Furthermore, as per the official data, the inflation rate for fuel and light was higher by 8.73 percent.

In addition, sub-group of clothing and footwear showed a price acceleration of 8.86 percent.