Consumer Price Index for Industrial Workers (CPI-IW) Rises to 147.3 in September 2025

Consumer Price Index for Industrial Workers (CPI-IW) Rises to 147.3 in September 2025

The Labour Bureau, under the Ministry of Labour and Employment, Government of India, released the Consumer Price Index for Industrial Workers (CPI-IW) for September 2025. As per the official press release dated 31 October 2025, the All-India CPI-IW increased by 0.2 points, standing at 147.3 (base year 2016 = 100).

The index is an important economic indicator used to measure the change in retail prices and is also crucial for determining Dearness Allowance (DA) for central and state government employees, pensioners, and industrial workers.


Key Highlights of September 2025 CPI-IW

ParameterAugust 2025September 2025
General Index (CPI-IW)147.1147.3
Year-on-Year Inflation2.79% (↓ from 4.22% in Sept 2024)

The CPI-IW saw a marginal rise due to variations across key consumption categories, with some sectors witnessing increases while others showed slight declines.


Group-wise CPI-IW Details

GroupAugust 2025September 2025
Food & Beverages151.8151.1
Pan, Supari, Tobacco & Intoxicants168.2169.1
Clothing & Footwear152.7155.1
Housing137.7137.7
Fuel & Light152.9152.8
Miscellaneous143.2144.1

The Clothing & Footwear and Pan, Supari, Tobacco & Intoxicants groups recorded noticeable increases, while the Food & Beverages group slightly declined, influencing the overall index movement.


Inflation Trends

The year-on-year inflation for September 2025 was 2.79%, which is a decline from 4.22% in September 2024. This indicates a moderating inflation trend, primarily due to stable prices in the food and fuel sectors.

The Labour Bureau compiles CPI-IW each month based on retail price data collected from 317 markets across 88 industrially important centers in India.


Impact on Dearness Allowance (DA)

The CPI-IW figure serves as a critical input for calculating the Dearness Allowance (DA) for central government employees and pensioners. With the index rising to 147.3, the data will influence the next DA revision expected in early 2026.

Government employees and pensioners are likely to benefit from a moderate DA increase, reflecting this steady upward trend.


Conclusion

The CPI-IW for September 2025 shows a modest increase, suggesting price stability with slight upward movement in specific segments. The reduction in annual inflation to 2.79% is a positive sign for the economy and consumers alike.

The next CPI-IW update for October 2025 will be released by the Labour Bureau at the end of November 2025.

Download Press-Release-CPIIW-September-2025

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