India’s wholesale inflation increased slightly in August 2026, with the annual rate based on the Wholesale Price Index (WPI) reaching 9.92%, according to data released by the Ministry of Commerce & Industry.
The WPI for all commodities stood at 110.8 in August, compared with 110.0 in July. The annual wholesale inflation rate was also higher than the 9.78% recorded in July 2026, pointing to continued price pressure across several parts of the economy.
Fuel and Power Prices Remain a Major Driver
The increase in wholesale inflation was largely linked to higher prices in fuel and power, while inflation across other major categories showed mixed movements.
Fuel and power inflation rose sharply to 22.93% in August, compared with 20.05% in July.
Meanwhile, inflation in primary articles eased to 7.76%, down from 8.52% in the previous month.
The manufactured products category recorded a modest increase in inflation, with the rate moving up to 8.37% from 8.29%.
WPI Index Movement
The index levels for the major groups also changed during August:
- Primary articles: 118.1, up from 117.2
- Fuel and power: 108.3, up from 105.4
- Manufactured products: 108.8, up from 108.4
The figures indicate that fuel and power experienced the most notable month-on-month movement among the major WPI groups.
Commodities Behind August Wholesale Inflation
The Ministry identified several commodity and manufacturing segments as important contributors to the August WPI inflation rate.
These included mineral oils containing petroleum products, food articles, manufactured food products, basic metals, non-food articles, and chemicals and chemical products.
Movements in these categories played a significant role in shaping overall wholesale price trends during the month.
WPI Food Inflation Rises to 7.05%
Food prices also added to the inflationary pressure in August.
The WPI Food Index, which has a combined weight of 24.99% and covers food articles from both primary commodities and manufactured food products, recorded annual inflation of 7.05%.
That was higher than the 6.65% inflation recorded in July 2026, indicating a modest increase in wholesale food price pressures.
Producer Price Index Data for August 2026
The Ministry also released updates related to the Producer Price Index (PPI) based on the 2022-23 base year.
The all-India Output PPI for all commodities stood at 110.8 in August, compared with 109.9 in July.
Performance across individual sectors was mixed.
- Agriculture, forestry and fishing: 116.5, compared with 115.6 in July
- Mining and quarrying: 122.0, compared with 119.4
- Manufacturing: 109.7, compared with 108.8
- Electricity: 90.9, down from 92.4
While agriculture, mining and manufacturing recorded increases, the electricity output index declined during the month.
Manufacturing Input Price Index
The Ministry also provided provisional figures for the trial Input Producer Price Index (Input PPI) for manufacturing.
For August 2026, the provisional input index stood at 104.2.
The government also revised the June 2026 trial input index. The earlier provisional figure of 107.1 was revised to a final index of 105.9.
What the August WPI Data Indicates
The latest WPI figures show that wholesale price pressures remained elevated in August, with fuel and power emerging as a particularly strong source of inflation. Food prices also recorded a modest increase, while primary article inflation eased.
With the WPI inflation rate rising from 9.78% to 9.92%, the August data highlights continued pressure on wholesale prices across key segments of the Indian economy.