As per the government data, India’s consumer price index-based inflation at 6.46 percent (provisional) came down to its lowest levels since 2012 during September from 9.84% in the corresponding month of last year.
Consumer Price Index (CPI), based on the retail inflation, has slowed down to 7.73 percent in August from 7.96 percent in the previous month.
The latest data assumes significance as RBI has set a target for CPI inflation at 8 percent by January ,2015, and 6 percent by January, 2016.
In September, vegetables became costlier by 8.59 percent and sugar became costlier by 0.64 percent year-on-year. At the same time, milk and milk products became dearer by 11.08 percent and fruits became costlier by 22.40 percent.
Cereals also became costlier by 6.42 percent. Prices of pulses jumped by 7.18 percent.
The price rise was sharper in rural areas. The CPI-based inflation for rural areas increased 6.68 percent in September.
However, for urban areas consumer price inflation grew by 6.34 percent in the month under review as compared to 7.04 percent in the previous month.
Vegetables became costlier by 10.28 percent year-on-year in rural areas while in urban areas the increase was 5.01 percent. Prices of oils and fats increased by 1.46 percent in rural areas while it decelerated by 3.03 percent in urban areas. Similarly, sugar price increased by 0.63 percent in rural areas, while it increased by 0.94 percent in urban areas.