New Delhi, March 10 : The cost of preparing both vegetarian and non-vegetarian thalis at home declined by 5 per cent in February compared to the corresponding figure for January this year, according to a Crisil report released on Monday.

For the vegetarian thali, the decline was driven by lower vegetable prices, particularly of onions, tomatoes and potatoes, while for a non-vegetarian thali, the cost eased with a decrease in broiler (chicken) prices, the report said.

Going ahead, the arrival of fresh rabi crops is expected to keep vegetable prices subdued, offering continued relief for vegetarian thali costs.

However, temperature conditions in March that have been above normal can impact the shelf life and quality of onions, which need to be stored for the next six months, as well as the quantity and quality of wheat -- the most significant crop of the rabi season, the report states.

The average cost of preparing a thali at home is calculated based on input prices prevailing in north, south, east and west India. The monthly change reflects the impact on the common man's expenditure. The data also reveals the ingredients (cereals, pulses, broilers, vegetables, spices, edible oil and cooking gas) driving the change in the cost of the thali.

The ICRA report is in line with official figures that India's retail inflation is on a downward trajectory. Inflation based on the Consumer Price Index fell to a 5-month low of 4.31 per cent in January as prices of vegetables and pulses eased during the month, bringing respite to household budgets, according to figures released by the Ministry of Statistics.

The easing of inflation reflects a steadily declining trend after having touched a 14-month high of 6.21 per cent in October. CPI inflation had declined to 5.48 per cent in November and 5.22 per cent in December.

The food inflation at 6.02 per cent in January 2025 is the lowest after August 2024.

RBI Governor Sanjay Malhotra announced a 25 basis cut in the policy rate from 6.5 per cent to 6.25 per cent in the monetary policy review to accelerate growth amid global uncertainties.

He said that inflation has declined and is expected to moderate further and gradually align with the RBI's target.

Now, with the retail inflation continuing with its downward trend, the RBI will have more headroom to follow a soft money policy to make more credit available to businesses and consumers, which will propel economic growth.

/IANS