What Does The New CPI Basket Tell Us About Consumption in India?

On 12 February 2026, India released its revised CPI with a new base year of 2024, marking a structural shift in how household consumption is measured. The number of divisions has doubled from 6 to 12, separating housing, transport, health, communication and other services into distinct categories. Food and beverages remain the largest component but their dominance has moderated, while housing and services have gained prominence, reflecting a more urban and service-oriented consumption profile.

IMA India’s Decoding India is a data-led series that explores the metrics shaping India’s economic and business landscape, presented through comparative visuals across Indian states or peer economies. The aim is simple: to make India’s progress easier to understand at a glance and to surface insights that matter for decision-makers.