Lower inflation in food and fuel took India's wholesale inflation in February to 2.48%, a seven-month low.
In January, the annual rate of inflation based on the monthly Wholesale Price Inflation stood at 2.84%. Last February, it was 5.5%.
The previous low of 1.88% was recorded in July.
Though inflation in food items slowed, core inflation (or inflation in non-food manufactured products) increased sharply.
In February, inflation in food products eased from 3% in the previous month to 0.88%.
In vegetables, annual inflation slowed to 15.26% compared to 40.77% in January.
Rate of inflation in onions eased too, but there was a simultaneous rise in that of potatoes.
Inflation in pulses remained in the negative at -24.51%. Cereals, wheat and protein-rich items (egg, fish and meat) performed similarly.
Inflation in fuel and power eased too, from 4.08% in January to 3.81% in February.
However, in manufactured items, it rose from 2.78% to 3.04%.
Core WPI inflation rose to a 42-month high of 3.9%, which "raises concerns regarding the sustainability of the subdued headline inflation print," said Aditi Nayar, principal economist at ICRA.
Earlier this week, government data put retail inflation at 5.07%.
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