Red alert: Tomatoes have become new onions, prices soar upto 7...

The Consumer Price Index-based inflation hit a historically low level of 1.54 per cent in June on fall in prices of food items like vegetables, pulses and milk products, as per the data released by the Central Statistics Office.

From May to June 2017, food prices have deflated by more than 3%. That means lesser returns for farmers and increasing distress in rural India.

Pressure mounts on central bank to cut rates; food deflation persists amid farmer distress

There are concerns that a reversal of the favourable base effect could result in food and headline inflation rising sharply, and exceeding 4% during the second half of the current financial year

Retail inflation drops owing to dip in food items like vegetables, pulses and milk products.

REUTERS - India's consumer inflation is expected to have slowed to a record-low in June, pressured by a sharp drop in food and oil prices, a Reuters poll showed, a result that could intensify calls for an interest rate cut.

May WPI at 2.17 %, down from 3.85 % in May; fuel inflation continues to decline for 4th month

Wholesale inflation rate, measured by the wholesale price index (WPI), is a marker for price movements in bulk buys for traders and broadly mirrors trends in shop-end prices.

Driven by cooling food prices, India's annual consumer price inflation eased further to 2.18 per cent in May.