India s retail inflation eases to 6.46 in September from 7.8 in August

India-s Retail inflation, measured by Consumer Price Index, eased marginally to 6.46% in September compared to 7.8% in August. Consumer food price inflation, also dropped to 7.67% in September from 9.35% in previous month of August and 11.75% in September 2013.

The steep decrease in food inflation for August was mainly due to decrease in vegetable prices, which eased to 8.59% in the same month compared to 15.15% in the previous month. Inflation in fruit items slowed to 22.4% in September from 24.27% in August

 The urban inflation eased to 6.34% in September compared to 7.04% in August while in rural areas retail inflation eased to 6.68% in September compared to 8.25% in August. This drop in retail inflation and food inflation number will give more room to RBI to cut rates to boost growth.