India’s food inflation reached 7.74% in September 2026, putting additional pressure on household budgets as the prices of essential items such as onions, ginger, garlic and lemons increased. The rise in food prices comes amid a broader increase in retail inflation, raising concerns about the cost of everyday necessities.

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Retail inflation climbed to 5.54% in September from 4.82% in August, crossing the 5% mark for the first time under the revised Consumer Price Index (CPI) series. According to SBI Research, overall inflation could peak at 6.7%–6.8% in November, although this remains a forecast.

The impact of rising food prices can be particularly difficult for households with limited budgets. Families may have to spend more on groceries, switch to cheaper alternatives or reduce expenditure on other essentials to manage the increase.

SBI Research also reported that the number of commodities accounting for 75% of the CPI’s weighted contribution to inflation increased from 25 in August to 31 in September, suggesting that price pressures have spread across a wider range of goods.