India's WPI Inflation Surges to 11.39% in September as Fuel and Manufacturing Prices Climb
India's WPI inflation for September 2026 rose to 11.39% from 9.92% in August, pushed higher by fuel, food and manufactured goods prices, according to data released on October 14. The reading moves wholesale inflation into double digits.
Headline Wholesale Price Data
The Wholesale Price Index (WPI), which measures price changes at the wholesale level, rose to 112.5 in September from 110.8 in August, a sequential increase of 1.5%. The Output Producer Price Index (PPI), which tracks prices received by domestic producers, also rose to 112.5 from 110.8, pointing to rising prices across major producing sectors.
| Indicator | Previous (August 2026) | Current (September 2026) | Change |
|---|---|---|---|
| WPI inflation | 9.92% | 11.39% | +1.47 percentage points |
| WPI index level | 110.8 | 112.5 | +1.5% month on month |
| Output PPI | 110.8 | 112.5 | Higher |
| Consumer inflation | Not provided | 5.5% | Reported for September |
Fuel Continues to Drive Inflation
Fuel and power inflation accelerated to 25.9% in September from 22.9% in August, and remains the fastest-growing component of wholesale prices. Within the energy group, inflation in crude petroleum and natural gas surged to 57.3% from 34.4%. Mineral oil inflation increased to 40% from 38.5%, and coal and lignite inflation accelerated to 9.3% from 1.6%.
| Component | August 2026 | September 2026 | Change |
|---|---|---|---|
| Fuel and power | 22.9% | 25.9% | +3.0 percentage points |
| Crude petroleum and natural gas | 34.4% | 57.3% | +22.9 percentage points |
| Mineral oil | 38.5% | 40% | +1.5 percentage points |
| Coal and lignite | 1.6% | 9.3% | +7.7 percentage points |
| Manufactured products | 8.4% | 9.8% | +1.4 percentage points |
Manufacturing Inflation Approaches 10%
Inflation in manufactured products, which account for nearly two-thirds of the WPI basket, rose to 9.8% from 8.4% in August. The increase shows price pressure spreading beyond energy into factory-gate goods.
Market and Sector Impact
Consumer inflation reached 5.5% in September, and economists are pricing in another rate hike later this year, according to the data report. Energy prices have been a visible pressure point in recent days. Brent crude traded near USD 105.5 per barrel in morning trade on October 13, 2026, and private fuel retailer Jio-bp raised petrol by ₹5 per litre and diesel by ₹3 per litre from October 11, citing the impact of West Asia conflict and Strait of Hormuz supply disruptions on crude and product prices.
What to Watch
The next triggers are the monthly WPI and consumer price releases for October, movements in Brent crude and domestic fuel prices, and any monetary policy decision later this year, with economists already expecting another rate hike.