Inflation hits 3-month high of 5.03% in Feb

New Delhi: Retail inflation rose to a three-month high of 5.03 per cent in February mainly on account of higher food prices, government data showed on Friday. The Consumer Price Index (CPI) based retail inflation stood at 4.06 per cent in January. The previous high was witnessed at 6.93 per cent in November 2020.

The rate of price rise in the food basket accelerated to 3.87 per cent in February, as against 1.89 per cent in the preceding month, as per data released by the National Statistical Office (NSO).

Inflation in the 'fuel and light' category remained elevated at 3.53 per cent during the month vis-a-vis 3.87 per cent in January. The inflation print in 'oil and fats' segment moved up to 20.78 per cent from 19.71 per cent.

For fruits, it grew to 6.28 per cent from 4.96 per cent, while in case of vegetables, the rate of deflation was softer at (-)6.27 per cent against (-)15.84 per cent in the preceding month.

Among others, milk and products, pulses and products, and eggs had inflation prints at 2.59 per cent, 12.54 per cent and 11.13 per cent respectively. The corresponding rates were 2.73 per cent, 13.39 per cent and 12.85 per cent in January.

For health category, the rate of price rise was higher at 6.33 per cent as against 6.02 per cent and for 'transport and communication', it rose to 11.36 per cent from 9.32 per cent in January.

Sandeep Malhotra, CEO, IFFCO Kisan Sanchar, said, "Consumer price index has inclined up, primarily on account of food prices, particularly edible oils in-line with trends exhibited in international market."