Ghar Kharcha: Did Yours See A Diwali Bump Up?

People made a beeline to restaurants, malls, markets, airports and, at long last, even the movies on Diwali. How much more did they have to spend?

Retail inflation saw a modest pick up in October after falling for four straight months. It stood at 4.5% in October this year, just a tad higher than the 4.4% in September. Food prices showed the first signs of a reversal after falling for four months straight, but fuel prices continued to burn a hole in the pocket before the government announced a cut on Diwali eve.

Food, Food & More Food

Macaroons from that new Laduree India outlet or the good (or not-so-good) old soan papdi ka dabba from Haldiram's? What did your Diwali mithai haul look like?

First, the staples. Prices of rice and wheat were largely stable on a sequential basis and declined from the same time last year. But all three key vegetables—potatoes, onions and tomatoes, saw a sudden spike after declining the previous month. Still, when compared to the same time last year, they remained lower this year.

Prices of pulses remained flat on a sequential basis but showed signs of easing on an annual basis.

Oils and fats inflation, after rising to 34.2% in September, saw a downtick to 33.5% in October. On a sequential basis, prices declined by 12%.

Chicken, fish, eggs, cost less. What got expensive? Cakes, candy, sweets and pastries were some of those items that cost more.

The Season To Splurge: What Got Expensive

Clothing and footwear inflation was at 7.5% in October. That's the highest it has been at since 2014. Prices of traditional attire — sarees, kurtas and pyjamas all saw a rise of over 7%.

Holidays cost significantly more than they did last year. While air fare was higher by 32%, hotel lodging cost 17% more.

Regret not having booked that luxury hotel last year when there were offers galore? We sure do!

On a sequential basis, while hotel lodging rose by 2%, airfare fell by 6%.

But, what better for an Indian than a decline in gold prices on Diwali. Gold declined by 6% on an annual basis and remained flat on a sequential basis.

Bills

Up until the government sprung a Diwali surprise, cutting the excise duty on petrol and diesel by Rs 5 and Rs 10, prices of both rose to a record this year.

Inflation in fuel, light, transport and communication climbed in September to the highest in at least seven years.

Prices of diesel rose by 32% while petrol cost 27% more from the same time last year. On a sequential basis, while prices of petrol rose 3%, diesel rose 4%.

Electricity prices are just 2% above last year, though. Hope you put up those extra lights in the house!