Imported inflation rises to 6.49% in March, diverges widely among states

IMPORTED INFLATION INCREASED to 6.49% in March, up from 6.35% in February, amid ongoing exchange rate fluctuations and external shocks such as supply chain disruptions, according to the latest State Bank of India (SBI) Ecowrap report.

- FE BUREAU

The imported component of generalised price pressures, which has a weight of 21.84% in the Consumer Price Index (CPI) basket, saw its weighted contribution to overall headline inflation rise slightly by two basis points to 1.43% in March.This pushed the share of imported inflation in total CPI inflation to 43%, highlighting its growing influence on domestic price pressures. The rise in imported inflation coincides with a modest uptick in overall CPI inflation to 3.40% in March from 3.21% in February, the third consec