The MoSPI placed the Expert Group’s Report on the Comprehensive Updation of the Consumer Price Index in public domain to provide a clearer understanding of, and effectively transition to, the CPI 2024 series
Download ReportQuantEco Research | New CPI 2024 series - What you need to know
The most awaited refinement in the report will be on the weightage of the sub-categories, basis HCES 2023-24 and other data. Weight of food is expected to see a sizeable decline, to 36.8% in the CPI 2024 basket (from 45.9% earlier). This is lower than what we had been anticipating. Share of Miscellaneous goods and services to go up, from 28.3% in the current series to 36.2% in the new series (see Table in the note attached). For sake of comparison (though not advisable, as the new series incorporates methodological as well as coverage upgrades), ceteris paribus, working with these weights on the current CPI indices, would re-estimate Dec-25 CPI inflation at 2.03% vs. actual print of 1.33%. For CY25, average inflation would be re-estimated at 2.63% i.e., 40 bps higher. A lower weight to food, may possibly mean less volatile CPI readings, in addition to a better representation of consumer basket