New Delhi, Jan. 15 -- India's wholesale inflation, as measured by the Wholesale Price Index (WPI), went up in December 2025, rising to 0.83% year-on-year from a 0.32% contraction in November, according to data released by the ministry of commerce and industry on Wednesday. The turnaround was driven by firmer prices across manufactured goods, minerals, machinery, food products and textiles. On a month-on-month basis, wholesale prices rose 0.71% in December, up from 0.52% in November. Prices rose across all three major WPI components, pointing to a broad-based firming in wholesale price pressures. A disaggregated reading shows that primary articles moved out of deflation, with inflation rising to 0.21% in December from a 2.93% contraction in November, driven mainly by higher prices of non-food articles and minerals. Food articles, however, continued to remain in deflation, while prices of crude petroleum and natural gas also fell on a year-on-year basis. "WPI inflation increased to 0.8% in December, reversing the deflation of 0.3% recorded in November. This uptick was primarily driven by a moderation in food price deflation and higher inflation in manufactured products," said Rajani Sinha, chief economist at CareEdge Ratings. "Looking ahead, robust agricultural activity, favourable base effect, and adequate reservoir levels are expected to help contain food price pressures." The WPI food index, which combines food articles and manufactured food products, nevertheless moved out of deflation, with inflation rising from a 2.60% contraction in November to 0% in December. While vegetables such as onion and potato continued to see sharp year-on-year price declines, firmer prices for milk, fruits and animal products, along with positive inflation in processed food, helped stabilise overall food inflation. Prices of manufactured products, which carry more than 64% weight in the WPI basket, firmed further, with inflation rising to 1.82% in December from 1.33% in November. On a monthly basis, the segment recorded a 0.41% increase, with price gains across several sub-groups including basic metals, chemicals, textiles and other manufacturing, indicating a pickup in underlying cost pressures in the industrial sector. Inflation in the fuel and power group, however, contracted for the ninth consecutive month at -2.31% year on year, even though prices rose 1.23% sequentially in December on higher electricity, coal and mineral oil prices. Lower prices of petroleum products and crude oil continued to weigh on the group. "The global crude oil supply glut is likely to persist through CY2026, with production continuing to exceed consumption. OPEC's production policies and elevated inventory levels are expected to cap any significant upside in crude oil prices," said Sinha, adding that geopolitical risks, particularly in the Middle East, remain a key monitorable. Overall, the December data suggest that wholesale inflation has moved past its trough, with easing food deflation and firmer manufacturing prices pushing the headline index back into positive territory as 2025 closed. "Going forward, WPI inflation is expected to edge up marginally due to low base of last year. However, it would remain largely benign, averaging around 0.4% in FY26," said Sinha....