West Asia crisis: India’s wholesale inflation jumps to 8.3% in April as fuel, crude oil prices surge

India’s wholesale price inflation accelerated sharply to 8.30 per cent in April from 3.88 per cent in March, driven mainly by a steep rise in fuel, power and crude oil prices amid the ongoing West Asia crisis, according to government data released on Wednesday.

Data released by the ministry of commerce and industry showed that inflation based on the Wholesale Price Index (WPI) rose significantly year-on-year due to higher prices of mineral oils, crude petroleum and natural gas, basic metals, manufactured products and non-food articles.

“Positive rate of inflation in April 2026 is primarily due to increase in prices of mineral oils, crude petroleum & natural gas, basic metals, other manufacturing and non-food articles etc,” the ministry said in a statement.

Fuel and power inflation spikes sharply

Fuel and power recorded the steepest increase among major categories. Inflation in the segment surged to 24.71 per cent in April from 1.05 per cent in March.

The fuel and power index rose 18.22 per cent month-on-month to 181.7 in April from 153.7 in March, according to news agency ANI.

The ministry said mineral oil prices increased by 29.37 per cent in April compared to March, although electricity prices declined by 2.53 per cent during the same period.

Among key fuel products, petrol inflation jumped to 32.40 per cent in April from 2.50 per cent in March, while high-speed diesel inflation rose to 25.19 per cent from 3.26 per cent,.

Inflation in LPG also climbed to 10.92 per cent in April against a contraction of 1.54 per cent in March.

Crude petroleum and natural gas inflation rose sharply to 67.18 per cent in April, while crude petroleum inflation alone stood at 88.06 per cent.

West Asia conflict impacts prices

The sharp increase in wholesale inflation reflected the impact of the West Asia conflict and the effective blockade of the Strait of Hormuz, through which most of India’s crude oil imports normally pass.

Primary articles inflation increased to 9.17 per cent in April from 6.36 per cent in March, while inflation in manufactured products rose to 4.62 per cent from 3.39 per cent.

Food index-based wholesale inflation also edged higher to 2.31 per cent in April from 1.85 per cent in March.

Food articles inflation stood at 1.98 per cent in April compared to 1.90 per cent in March, while non-food articles inflation rose to 12.18 per cent from 11.5 per cent.

Despite a sharp rise in global crude oil prices, the government has so far kept retail prices of petrol and diesel unchanged to shield consumers, though prices of commercial LPG cylinders have been increased.