12 March,2026 06:09 PM IST | New Delhi | mid-day online correspondent
Representational Image. Pic/Pixabay
India's retail inflation rose slightly to 3.21 per cent in February 2026 compared to the same month last year, according to official data released on Thursday by the Ministry of Statistics and Programme Implementation.
The inflation rate is based on the revised Consumer Price Index (CPI) series with 2024 as the base year, which was introduced earlier this year to improve the accuracy and representation of consumption patterns in the country.
The February figure represents an increase of 0.47 percentage points compared to the revised CPI inflation rate of 2.74 per cent recorded in January 2026, when the new CPI series was first launched.
According to the official statement, headline inflation rose by about 47 basis points on a year-on-year basis in February.
The inflation rate for rural areas stood at 3.37 per cent, while urban inflation was recorded slightly lower at 3.02 per cent during the same period.
Despite the rise in overall inflation, prices of several key vegetables registered a significant decline during the month.
The index for vegetables such as tomato, peas and cauliflower dropped by more than 10 per cent in February compared to January, reflecting improved supply conditions and seasonal trends.
However, overall food inflation remained slightly higher, with the inflation rate based on the All-India Consumer Food Price Index recorded at 3.47 per cent in February compared to the same month last year.
Housing inflation during the month was estimated at 2.12 per cent, indicating relatively stable prices in the housing sector.
Officials said the CPI data provides a comprehensive overview of price movements across various categories of consumer goods and services, which are used by policymakers and financial institutions to assess economic conditions.
The government has revised the base year for the CPI from 2012 to 2024 using data from the Household Consumption Expenditure Survey 2023-24.
Under the revised methodology, the CPI is now calculated with the base index set at 2024 = 100, and the basket of goods and their weightages have been updated to reflect current consumption patterns.
Officials said the revision improves the coverage and representativeness of the inflation measurement and provides more granular data to support better policy decisions.
The inflation data is compiled using real-time price information collected from 1,407 urban markets - including online markets - and 1,465 villages across all states and Union territories.
Field staff of the National Statistical Office conduct weekly price collection visits as part of the data-gathering process.
During February 2026, price data was collected from 100 per cent of rural and urban markets. The reporting rate for prices was 99.89 per cent in rural markets and 99.78 per cent in urban markets.
The government also announced that CPI inflation data for March 2026 will be released on April 13, 2026, or on the next working day if the date falls on a holiday.
