India Wholesale Price Inflation Rises to 9.87 Percent in June

India's wholesale price inflation unexpectedly accelerated to 9.87 percent year-on-year in June 2026, up from 9.68 percent in May. The Ministry of Commerce and Industry attributed the rise to surges in mineral oils, crude petroleum, natural gas, chemicals, and basic metals. Fuel and power prices saw the steepest increase at 27.41 percent, while manufactured products and primary articles rose to 7.48 percent and 7 percent, respectively. Food inflation within the wholesale price index climbed to 6.14 percent from 4.49 percent in May.

Consumer price inflation also rose, moving from 3.93 percent in May to 4.38 percent in June, driven largely by energy and food costs. In response to these rising global energy prices and their effect on retail costs, the Reserve Bank of India increased its inflation forecast for the current fiscal year to 5.1 percent from a previous estimate of 4.6 percent. The government's overall inflation target remains 4 percent with a 2 percent margin.

Leadership from the PHD Chamber of Commerce and Industry linked the trend to geopolitical challenges and upstream industry costs. The government also issued a retrospective revision for April 2026, raising the final wholesale price inflation estimate to 8.36 percent from a provisional 8.26 percent.