All Commodities Show Positive Momentum
The WPI index for all commodities increased to 157.0 in December 2025, compared to 155.9 in November. On a year-on-year basis, inflation improved from (-)0.32 percent in November to 0.83 percent in December, signaling a broad-based recovery in wholesale prices.
On a month-on-month basis, the WPI rose by 0.71 percent in December, reflecting consistent price increases across major commodity groups. This monthly rise was higher than the 0.52 percent increase recorded in November.
Primary Articles and Fuel Prices Rise
Primary articles, which carry a weight of 22.62 percent in the WPI basket, recorded an annual inflation of 0.21 percent in December, compared to negative inflation in the previous months. Prices of non-food articles, minerals and food articles witnessed noticeable increases during the month.
The fuel and power segment, with a weight of 13.15 percent, continued to remain in deflationary territory on a year-on-year basis at (-)2.31 percent. However, on a monthly basis, the index rose by 1.23 percent due to higher electricity, coal and mineral oil prices.
Manufactured Products Lead Inflation Rise
Manufactured products, accounting for the largest share of 64.23 percent in the WPI, emerged as the main contributor to overall inflation. The segment recorded an annual inflation rate of 1.82 percent in December, up from 1.33 percent in November.
Out of 22 manufacturing groups, 13 witnessed price increases. Key contributors included basic metals, chemicals, textiles, machinery and other manufacturing products. However, prices declined in some segments such as rubber and plastic products, beverages, paper products and certain food items.
Food Inflation Stabilises at Wholesale Level
The WPI Food Index, which combines food articles and manufactured food products, rose to 196.0 in December from 195.0 in November. As a result, food inflation at the wholesale level stood at 0.00 percent in December, improving significantly from (-)2.60 percent in the previous month.
While prices of vegetables and pulses remained under pressure on a year-on-year basis, fruits, milk, eggs, meat and fish showed positive inflation, indicating mixed trends within the food basket.
Economic Outlook and Policy Signals
Economists view the return of positive wholesale inflation as a sign of gradual demand recovery in the economy, especially in manufacturing and industrial inputs. The data also suggests easing deflationary pressures seen earlier in the year due to global commodity price moderation.
The WPI figures are closely tracked by policymakers and businesses as they influence input costs, pricing decisions and future inflation expectations. The next WPI release for January 2026 is scheduled for February 16, 2026.
