India's CPI Inflation Jumps to 14-Month High of 6.2% in October amid Food Price Surge

New Delhi, November 12, 2024 - India's inflation rate saw a significant jump to a 14-month high of 6.21% in October 2024, according to official data released on Tuesday. The retail inflation has breached the Reserve Bank's (RBI) tolerance limit of 6% (+/- 2%) for the fourth consecutive month.

The Consumer Price Index (CPI), which tracks inflation levels, showed a substantial increase from September's 5.49% and October last year's 4.87%. The latest inflation rate indicates that food prices have surged to 10.87%, up from 9.24% in September and 6.61% in October 2023.

India is currently facing an increasing price trend, with food prices being a major contributor to the inflation rate. With this latest data, India's retail inflation has moved closer to the RBI's target of maintaining inflation within a band of 4% on either side.

Meanwhile, industrial production saw a modest growth rate of 3.1% in September, according to the Index of Industrial Production (IIP). This is a significant improvement from the previous month's (-)0.1% decline and marks a slight increase from the same period last year, which grew by 6.4%.

The data also revealed that mining, manufacturing, and electricity growth rates stood at 0.2%, 3.9%, and 0.5% respectively for September 2024.

Indian Finance Minister is set to debate this inflation in coming days with the government's key policy document.