India's inflation slows in April while Kerala retains top spot

Retail inflation in India slowed in April to 3.16 per cent, marking the lowest level since July 2019, driven by a notable decline in food prices, according to the data released by the Ministry of Statistics and Programme Implementation.

Food inflation stood at 1.78 per cent for the month, declining from 2.69 per cent in March, the lowest since October 2021. Vegetable prices recorded an 11 per cent year-over-year decline in April, continuing their downward trend after falling more than 7 per cent in March. 

Meanwhile, Kerala recorded the highest inflation in the country for a fourth straight month this year, with the rate declining to 5.94 per cent from the 6.59 per cent reported in March. Rural inflation in the state was the highest in the country at 6.46 per cent in April, while urban inflation was 4.91 per cent.

Kerala is primarily a consumer-driven economy, and 80 per cent of its consumption is dependent on imports. High wage rates and shifting demographic patterns have made Kerala the highest consumer economy in the country. These factors continue to exert upward pressure on prices, subsequently driving up inflation figures. 

Karnataka followed Kerala in recording the highest inflation figures in April, with the southern state registering a rate of 4.26 per cent. Jammu and Kashmir (4.25 per cent), Punjab (4.29 per cent), and Uttarakhand (3.81 per cent) occupied the next spots.

Telangana recorded the lowest inflation rate in the country, at 1.26 per cent. Delhi followed with an inflation rate of 1.77 per cent, making it the only other state to report a rate below two per cent.