India’s retail inflation rose to 4.45% in July 2026, the highest level since December 2024, when it stood at 5.22%, as food prices continued to exert upward pressure. Consumer food inflation accelerated to 5.52% in July from 5.32% in June, according to the latest data released by the National Statistics Office (NSO).
Headline CPI inflation increased from 4.38% in June 2026 to 4.45% in July, marking the ninth consecutive monthly increase since November 2025. The July reading is also the highest retail inflation recorded since December 2024. Rural inflation rose to 4.84% from 4.74% in June, while urban inflation increased marginally to 3.96% from 3.93%.
Food prices were a major contributor to the rise in overall inflation. Food inflation based on the Consumer Food Price Index (CFPI) increased to 5.52% in July, compared with 5.32% in June. Rural food inflation was higher at 5.79%, while urban food inflation stood at 5.05%.
Several key food items recorded sharp price increases. Ginger inflation surged to 83.62% in July from 50.41% in June, while garlic inflation more than doubled to 35.36% from 17.93%. Onion inflation also climbed sharply to 22.54%, compared with 4.73% in the previous month.
However, some food items witnessed price declines. Potato prices remained in deflation, with inflation at -16.56% in July. Lady’s finger, peas and tomatoes also recorded negative inflation of -5.52%, -5.27% and -4.59%, respectively.
At the broader category level, food and beverages recorded inflation of 5.24% in July. Inflation in restaurants and accommodation services stood at 7.72%, while personal care, social protection and miscellaneous goods and services recorded a high 14.77%. Transport inflation was 4.43%, clothing and footwear 3.38%, and housing, water, electricity, gas and other fuels 2.16%.
State-wise, Telangana recorded the highest combined CPI inflation at 6.32%, followed by Andhra Pradesh at 5.72% and Tamil Nadu at 5.44%. Uttar Pradesh recorded inflation of 4.74%, while Delhi reported 2.68%.
The NSO said the July inflation figures are provisional. Price data were collected from 1,407 urban markets and 1,465 villages covering all States and Union Territories, with a 100% response rate in both rural and urban markets during the month.