CPI for Agri & Rural Labourers Sees Dip in May 2025

The Ministry of Labour & Employment released the All-India Consumer Price Index Numbers for Agricultural Labourers (CPI-AL) and Rural Labourers (CPI-RL) for the month of May 2025, showing a decline in both indices.

As per the official data:

  • CPI-AL decreased by 2 points, settling at 1305
  • CPI-RL decreased by 1 point, reaching 1319

These indices are calculated based on the 1986-87 base year.

Inflation Rate Comparison:

Month/YearCPI-AL Inflation (%)CPI-RL Inflation (%)
May 20252.84%2.97%
April 20253.48%3.53%
May 20247.00%7.02%

The year-on-year inflation has cooled significantly compared to the same month last year, suggesting an overall softening in rural and agricultural price levels.

Key Takeaways:

  • This decline in CPI indicates easing inflationary pressure in rural areas.
  • Yearly inflation has more than halved compared to May 2024.
  • The decline in prices may positively impact rural consumption patterns and affordability.

The government tracks CPI-AL and CPI-RL to gauge the cost of living and economic well-being of the rural workforce, which forms the backbone of India’s economy. These indicators also influence policymaking in areas like wage revisions under schemes such as MGNREGA.

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