India's inflation based on the annual consumer price inflation (CPI) index has increased to 9.47% in March compared to a rise of 6.89% for the period in the wholesale prices in the country.

The rise comes as the prices of protein-based food products, oils and fats, clothing materials and fuel items increased in the markets for consumers. The inflation based on CPI was recorded at 8.83 per cent in February. The data released by the ministry of statistics and programme implementation on Wednesday indicated that there are inflationary pressures in the economy.

The consumer prices of food and beverages rose 8.22% in March from a year before while cost of fuel and electricity increased 11.8%. Clothing, bedding and footwear prices increased 12.5% in the previous month. Prices of dairy products rose 15.22% in March, while there was a 14.2% rise in prices of poils and fats and 10.06% in egg, fish and meat.

The CPI data, which was launched in February, allows the government to take better informed decisions as the data includes rate movements in services. The data is believed to more useful than wholesale-price-based inflation that measures price changes in the traders market.