Nepal’s Wholesale Price Index Rises 2.07%: Food and Metals Drive Costs Higher

The National Wholesale Price Index (WPI) for mid-month July–August 2025/26 shows that wholesale prices in Nepal rose by 2.07% year-on-year, reaching 159.28 compared to 156.06 in June–July 2025 and 155.60 in July–August 2024/25. This steady rise reflects pressures in both primary goods and manufactured products, with food and metals emerging as the key cost drivers.

The Primary group (33.59% weight) increased by 3.73% year-on-year, led by a 3.66% jump in food prices. This rise came despite some seasonal adjustments, showing continued demand and supply-side pressure in cereals, vegetables, and other staples. Non-food primary goods also recorded a 4.80% surge, further strengthening the upward momentum.

In the Fuel and Power group (8.76% weight), wholesale prices rose only 1.88% year-on-year, with electricity costs flat at 100.00 but fuel prices still showing 2.46% growth. However, compared to last month, this group saw a slight cooling (-3.10%), reflecting global oil price corrections.

The Manufactured goods group (57.65% weight) rose moderately by 1.09% year-on-year, but certain sub-sectors showed sharp increases. Food, beverage, and tobacco climbed 1.51%, while basic metals surged 0.50% month-on-month but 9.54% compared to June–July 2025, making metals one of the strongest contributors to overall wholesale inflation. Construction-related categories like non-metallic mineral products recovered sharply (+16.73% compared to June–July), reflecting rising infrastructure demand.

By broad economic classification, Consumption goods (32.90% weight) posted the highest increase of 3.89%, reflecting strong consumer demand. Intermediate goods (56.30% weight) inched up 1.14%, while capital goods (10.80% weight) rose 1.09%, indicating modest investment-driven inflation.