WPI inflation 9.92% and CPI inflation 4.82% in August 2026
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- Prelims 2020Consider the following statements: The weightage of food in Consumer Price Index (CPI) is higher than that in Wholesale Price Index (WPI). …Solve with answer →
- Mains 2024 · GS3What are the causes of persistent high food inflation in India? Comment on the effectiveness of the monetary policy of the RBI to control…See model answer →
On 14 September 2026 the Government released price data for August 2026. Wholesale (WPI) inflation was 9.92 per cent, with fuel and power up 22.93 per cent. Retail (CPI) inflation, on the new base year 2024, was 4.82 per cent, and food inflation 5.95 per cent. Rural retail inflation (5.23 per cent) was higher than urban (4.31 per cent).
- Released
- 14 Sep 2026 (WPI: Commerce & Industry Ministry; CPI: NSO, MoSPI)
- WPI inflation, Aug 2026
- 9.92% (July: 9.78%)
- WPI base year
- 2022-23
- CPI inflation, Aug 2026
- 4.82% (provisional)
- CPI base year
- 2024=100
- Food inflation (CFPI)
- 5.95%
WPI and CPI inflation for August 2026: what happened?
India tracks prices at two levels. The WPI measures prices at the wholesale stage; the CPI measures what households pay in the shops. In August 2026 the gap between them was wide: wholesale inflation near 10 per cent, retail under 5 per cent.
- WPI inflation for August 2026: 9.92 per cent year on year, against 9.78 per cent in July.
- WPI major groups: primary articles 7.76 per cent, fuel and power 22.93 per cent, manufactured products 8.37 per cent.
- WPI food index inflation: 7.05 per cent.
- CPI (combined) inflation: 4.82 per cent; rural 5.23 per cent, urban 4.31 per cent.
- Consumer Food Price Index inflation: 5.95 per cent.
How are WPI and CPI different?
| Point | WPI | CPI |
|---|---|---|
| Measures | wholesale prices | retail prices paid by households |
| Base year (current series) | 2022-23 | 2024 |
| Released by | Ministry of Commerce & Industry | NSO, MoSPI |
| Rural/urban split | no | yes: rural, urban, combined |
| Covers services | no | yes, e.g. education, health, transport |
Which items moved the most in CPI?
- High inflation: silver jewellery 107.11 per cent, ginger 73.82 per cent, onion 48.27 per cent, garlic 43.60 per cent.
- Falling prices: tomato minus 31.09 per cent, potato minus 13.14 per cent.
- Among divisions, personal care and miscellaneous goods and services rose 15.17 per cent, and restaurants and accommodation 8.38 per cent.
What do the numbers show?
| Measure | July 2026 | August 2026 |
|---|---|---|
| WPI, all commodities | 9.78 | 9.92 |
| WPI, primary articles | 8.52 | 7.76 |
| WPI, fuel and power | 20.05 | 22.93 |
| WPI, manufactured products | 8.29 | 8.37 |
| CPI, combined | 4.45 | 4.82 |
| CPI, rural | 4.84 | 5.23 |
| CPI, urban | 3.96 | 4.31 |
| CFPI (food), combined | 5.52 | 5.95 |
July CPI final; August provisional. Source: PIB, 14 Sep 2026.
How does wholesale inflation reach the shop?
- Fuel and power prices rise at the wholesale stage (22.93% in August)
- Transport and production costs go up for firms
- Firms may pass costs to retail prices over time
- Households see it in CPI items such as transport
Why does WPI and CPI inflation for August 2026 matter?
| Angle | What to note |
|---|---|
| Households | CPI is what families actually pay; 4.82 per cent is the figure they feel. |
| Fuel | Mineral oils drove WPI; fuel prices feed into almost every good. |
| Rural households | Rural retail inflation is higher than urban, which hurts poorer families more. |
| Food | Onion, garlic and ginger prices rose sharply while tomato and potato fell. |
| Industry | High wholesale inflation squeezes firms’ margins. |
What are the challenges in WPI and CPI inflation for August 2026?
- Wholesale inflation near 10 per cent can pass on to retail prices over the coming months.
- Fuel and power inflation (22.93 per cent) is hard to control at home.
- August figures are provisional; the WPI response rate was 84.4 per cent.
- Swings in vegetable prices make food inflation volatile.
What should be done next on WPI and CPI inflation for August 2026?
- Watch whether high wholesale fuel prices pass through to CPI.
- Keep supply steady for onion, garlic and other volatile items.
- Read the new CPI (base 2024) series carefully when comparing with older years.
What can Prelims ask on WPI and CPI inflation for August 2026?
- WPI base year: 2022-23; CPI base year: 2024.
- August 2026: WPI 9.92%, CPI 4.82%, CFPI 5.95%.
- WPI is released on the 14th of the next month (or next working day).
- CPI price data: 1407 urban markets and 1465 villages.
- CPI has rural, urban and combined series; WPI does not.
How to write about WPI and CPI inflation for August 2026 in Mains
Practice question (15 marks, 250 words): Why can wholesale and retail inflation diverge sharply? Explain with reference to August 2026 data and discuss the policy implications.
- Intro: WPI 9.92%, CPI 4.82% in August 2026.
- Why they differ: baskets, weights, services in CPI, fuel weight in WPI.
- Drivers: fuel and power 22.93%; vegetables mixed.
- Implications: pass-through risk, firm margins, rural households.
- Way forward: supply management, monitor pass-through.
How to use this in Mains
- As per PIB (2026-09-14): WPI (base 2022-23) inflation was 9.92% in August 2026 (9.78% in July); fuel and power at 22.93%.
- A wide WPI–CPI gap signals cost pressure on producers that may pass through to retail prices.
Quotable data pointCPI (base 2024=100) inflation was 4.82%; food inflation (CFPI) 5.95%; rural 5.23%, urban 4.31%.
PIB: Commerce: WPI for August 2026, 14 Sep 2026
Exam angle
Prelims: base years and compilers of WPI/CPI. · Mains: Why WPI and CPI diverge.
Practice MCQs
Original practice questions (not PYQs).
The current CPI series released in 2026 has the base year
Answer (c) & explanation
PIB, 14 Sep 2026: CPI on base 2024=100.
In August 2026, which WPI major group had the highest inflation?
Answer (b) & explanation
PIB, 14 Sep 2026: fuel and power 22.93 per cent.
Consider: 1. CPI is released separately for rural and urban areas. 2. WPI includes prices of services. Which is/are correct?
Answer (a) & explanation
PIB, 14 Sep 2026: CPI gives rural, urban and combined figures; WPI covers primary articles, fuel and power, and manufactured products.
Questions students ask about this
What was WPI inflation in August 2026?
9.92 per cent year on year, up from 9.78 per cent in July 2026.
What was retail inflation in August 2026?
4.82 per cent (provisional), on the CPI with base year 2024.
Why was WPI so high?
Mainly fuel and power (22.93 per cent), with mineral oils, food articles and food products as major drivers.
Who releases CPI and WPI?
CPI by the NSO, MoSPI; WPI by the Ministry of Commerce & Industry.
Keep studying
Go deeper
Official source: PIB: Commerce: WPI for August 2026, 14 Sep 2026
facts from cited sources only; faculty review pending