India's Retail Inflation in December Likely Fell to Within RBI Target The fall came due to a significant drop in vegetable and food prices, a Reuters poll predicted. A vendor sells vegetables at a retail market in Kolkata, India, December 12, 2018. Photo: Reuters/Rupak De Chowdhuri Economy08/Jan/2021 Bengaluru: India’s retail inflation likely fell sharply in December, landing within the Reserve Bank of India’s target range, due to a significant drop in vegetable and food prices, a Reuters poll predicted. The January 5-7 poll of around 45 economists suggested retail inflation fell to 5.28% in December from 6.93% in November. “Food inflation â particularly vegetable prices â are beginning to correct since supply lines are being restored in food aided by good monsoons,” said Prithviraj Srinivas, chief economist at Axis Capital in Mumbai.