India's Wholesale Price Inflation Hits 11.39%: What’s Driving the Surge?

In September, India's wholesale price inflation escalated to 11.39%, up from 9.92% in August, primarily due to rising costs in food, manufactured items, and energy. The food inflation index increased to 8.66%, while manufactured goods reached a record high of 9.76%. The fuel and power sector also saw significant inflation at 25.85%. This upward trend is attributed to global factors, including the ongoing conflict in West Asia affecting crude oil imports. Read on to explore the details behind these rising prices.

By Narendra Chaudhary Oct 15, 2026, 08:15 IST

Wholesale Price Inflation Overview

New Delhi: The wholesale price inflation in India surged to 11.39% in September, a significant increase from 9.92% in August, driven by escalating costs in food, manufactured goods, and energy, according to data released by the government on Wednesday.

The food inflation index saw a rise to 8.66% in September, up from 7.05% the previous month.

Inflation for manufactured products reached a record high of 9.76%, compared to 8.37% in August.

In the fuel and power sector, the Wholesale Price Index (WPI) inflation stood at 25.85% in September, an increase from 22.93% in August.

Key contributors to the WPI inflation in September 2026 included mineral oils (including petroleum products), food items, crude oil and natural gas, coal and lignite, as well as the manufacturing of basic metals, chemicals, textiles, rubber, plastic products, and electrical equipment, as reported by the Ministry of Commerce and Industry.

The WPI has been on a rising trend since the start of the fiscal year, influenced by the ongoing conflict in West Asia and the resulting blockade of the Strait of Hormuz, which is crucial for India's crude oil imports. This situation has led to increased global crude and fertilizer prices, subsequently affecting food and commodity costs.