New CPI series launched; January retail inflation at 2.75%

Retail inflation stood at 2.75 per cent in January under the newly launched All India Consumer Price Index (CPI) series with 2024 as the base year, according to data released by the National Statistics Office (NSO) on Thursday.

The revised CPI series, introduced by the Ministry of Statistics and Programme Implementation, expands the consumption basket to better reflect current spending trends. The number of goods has increased from 259 to 308, while services have risen from 40 to 50. Overall weighted items have gone up from 299 to 358.

Food inflation for January was recorded at 2.13 per cent, while housing inflation stood at 2.05 per cent. Headline inflation in rural areas was 2.73 per cent and 2.77 per cent in urban areas.

Under the old 2012 base year series, retail inflation was 4.26 per cent in January 2025 and 1.33 per cent in December. Among states, Telangana reported the highest inflation at 4.92 per cent, followed by Kerala and Tamil Nadu.

Items witnessing low inflation included garlic, onion, potato, arhar (tur dal) and peas. High inflation was observed in silver jewellery, tomato, coconut-copra, gold, diamond, platinum jewellery and coconut oil.

The base year revision from 2012 to 2024 is aligned with the Household Consumption Expenditure Survey (HCES) 2023-24. The share of food and beverages in the CPI basket has declined to 36.75 per cent from 45.86 per cent earlier, though it remains the largest component.