Government data showed that India’s fuel price index within the Wholesale Price Index (WPI) declined 2.31% year-on-year in December 2025. The drop reflects easing global crude prices, stable domestic supply, and policy measures aimed at keeping inflation under control.
India’s fuel price index in the Wholesale Price Index (WPI) registered a year-on-year decline of 2.31% in December 2025, according to official government data released this week. The fall highlights the impact of softening global crude oil prices and stable domestic supply conditions, which together helped ease inflationary pressures in the energy sector.
Key highlights of the report include:
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Fuel price index down 2.31% YoY, signaling relief for consumers and industries.
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Global crude oil moderation contributed to lower import costs, easing pressure on domestic refiners.
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Stable supply and distribution ensured smoother availability of petroleum products across the country.
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Policy interventions, including calibrated excise duties, supported the decline in wholesale fuel inflation.
Economists note that the dip in fuel inflation is a positive sign for India’s broader inflation trajectory, as energy costs directly influence transportation, manufacturing, and household expenses. The decline also complements the overall moderation in WPI inflation, reinforcing confidence in India’s economic stability heading into 2026.
With fuel prices easing, businesses and consumers alike are expected to benefit from reduced cost pressures, supporting growth momentum in the months ahead.
Sources: Economic Times, Business Standard, Indian Express.