Retail Inflation Rises to 3.4% in March; Food Inflation Climbs to 3.87%, Both Above February Levels

India’s retail inflation rose to 3.4% in March 2026, up from 3.21% in February, while food inflation climbed to 3.87%. Rural inflation remained higher than urban levels. Despite declines in onion and potato prices, spikes in tomato and cauliflower pushed food prices up, with southern states recording higher inflation rates.

Year-on-year inflation rate based on All India Consumer Price Index (CPI) with base year 2024 for the month of March, 2026 over March, 2025 is 3.40% (Provisional). Corresponding inflation rates for rural and urban areas are 3.63% and 3.11%, respectively. All India CPI was 3.21% in February 2026.

The year-on-year inflation rate based on All India Consumer Food Price Index (CFPI) for the month of March, 2026 over March, 2025 is 3.87% (Provisional). Corresponding inflation rates for rural and urban areas are 3.96% and 3.71%, respectively. All India Consumer Food Price Index was 3.47% in February 2026.

In march 2026, Onion prices came down by 27.76%, potato by 19.98%, garlic by 10.18%, arhar by 9.56% and chickpeas by 7.87%. Comparatively, tomato prices went up by 35.99% and cauliflower by 34.11%.

Southern states bore the brunt the most. Overall inflation recorded in Telangana was 5.83% and food inflation was 5.94%. For Andhra Pradesh it was 4.05% and 5.45%, for Karnataka it was 3.96% and 5.89%, for Tamil Nadu it was 3.77% and 3.94% and for Rajasthan it was 3.64% and 3% respectively.

These inflation data are based on the new base year 2024. Real time price data are collected from selected 1407 urban Markets (including online markets) and 1465 villages covering all States/UTs. CPI for April 2026 will be released on 12th May, 2026 (Tuesday) or the next working day in case of 12th being a holiday.