India retail inflation eases to 3.48% in April as food prices remain subdued

India's retail inflation eased to 3.48% in April from a year earlier, government data showed on Tuesday, remaining below the central bank's medium-term target of 4% as food price pressures stayed contained.

The Consumer Price Index (CPI)-based inflation was 3.60% in March and 4.83% in April 2025.

Food inflation, measured by the Consumer Food Price Index (CFPI), stood at 4.20% in April, compared with 4.61% in March, according to the data released by the Ministry of Statistics and Programme Implementation.

In rural areas, retail inflation was 3.74% in April, while urban inflation came in at 3.16%.

Food inflation was 4.26% in rural areas and 4.10% in urban centres.

Within the food basket, inflation in cereals was 4.77%, milk and products 2.78%, eggs 3.84%, oils and fats 17.35%, and fruits 12.71%. Vegetable inflation was lower at 10.98%, while pulses and products recorded deflation of 5.23%.

Housing inflation for the month stood at 2.15%, with rural housing inflation at 2.65% and urban housing inflation at 1.96%.

Last month, the Reserve Bank projected the CPI inflation for 2026-27 at 4.6%, with 4% in Q1. It also said that persistently elevated energy prices due to the West Asia conflict and possible El Niño conditions (which could have a negative impact on the southwest monsoon) pose upside risks to inflation.

The next CPI data for May 2026 will be released on June 12.