Govt may include e-commerce data, expand coverage to improve calculation of retail inflation

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Subscribe to enjoy similar stories. New Delhi: The government has proposed changes such as the inclusion of e-commerce data to prepare a new base year for the Consumer Price Index (CPI) as part of a broader initiative to better reflect contemporary consumer spending patterns. The planned changes include leveraging modern data collection techniques such as sourcing price information from e-commerce platforms, expanding coverage beyond the major cities and relying on privately rented dwellings to calculate housing rents, according to a presentation by the ministry of statistics and programme implementation on Wednesday.

These changes are aimed at capturing spending behaviour more accurately across urban and rural regions. The proposals were presented during a session on “The Treatment of PDS Items and Other Necessities in Consumer Price Index Compilation," which was attended by policymakers and economists including NITI Aayog member Ramesh Chand; chief economic advisor V Anantha Nageswaran, and ministry secretary Saurabh Garg and academics Surjit S. Bhalla, Himanshu and Mythili Bhusnurmath.

In addition to updating the methodology of calculating retail inflation, the ministry plans to digitise its data collection process, replacing paper-based surveys with digital tools to enhance accuracy and efficiency. The ministry also aims to publish more granular inflation data, enabling deeper insights into regional and demographic trends. The CPI revision is part of a larger effort to modernise India’s statistical framework.