New Delhi: The increase in wholesale price inflation in June was largely driven by price pressures in goods that are sensitive to global commodity and energy prices, the government informed Parliament on Monday.

Minister of State for Finance Pankaj Chaudhary told the Lok Sabha in a written reply that the government has been actively implementing measures to control inflation and mitigate its impact on consumers. These steps, he said, have helped rein in retail inflation measured by the Consumer Price Index (CPI).

The measures include augmenting buffer stocks of essential food items, selling procured grains in the open market to moderate prices, and calibrating trade policies.

On a year-on-year basis, wholesale price index (WPI)-based inflation rose from 9.68 per cent in May to 9.87 per cent in June. Chaudhary attributed the rise primarily to price pressures in commodities more sensitive to global energy and commodity movements, particularly mineral oils (including petroleum products), food articles, basic metals, and chemicals and chemical products.

In contrast, CPI-based retail inflation stood at 3.1 per cent during January–March of FY26 and 3.9 per cent during April–June of FY27, reflecting the impact of the government’s interventions, according to the minister.

Chaudhary noted that the government, in consultation with the Reserve Bank of India, sets the CPI retail inflation target once every five years with the aim of maintaining price stability while supporting economic growth. In March this year, the government notified a CPI inflation target of 4 per cent, with a lower tolerance level of 2 per cent and an upper tolerance level of 6 per cent, for the period from April 1, 2026, to March 31, 2031.

Separately, India’s retail inflation rose to 4.38 per cent in June 2026 from 3.93 per cent in May, driven mainly by higher food prices and transport costs linked to escalating fuel prices.

The minister’s reply highlighted the divergence between wholesale and retail inflation trends, with WPI more directly reflecting global commodity and energy price movements, while CPI has remained closer to the official target band due to domestic supply-management and trade-policy measures.