Latest Kerala-specific Consumer Price Index (“CPI”) data for February 2026, explaining its relevance to wages and local cost-of-living trends by Department of Economics & Statistics, Thiruvananthapuram.

[1]The Department of Economics & Statistics has released the Consumer Price Index (“CPI”) numbers for Agricultural Labourers and Industrial Workers in Kerala for February 2026. This report serves as a critical economic tool for tracking localized inflation and directly influences the financial welfare of the state’s workforce. Specifically, these indices are utilized under the Minimum Wages Act of 1948 to determine the “Cost of Living Index” and calculate the Variable Dearness Allowance (“VDA”), ensuring that monthly salary adjustments remain aligned with the actual cost of essential goods and services across 17 different centres in Kerala.

To maintain both modern relevance and historical continuity, the data is presented using two benchmarks – a new series with a base of 2011-12 and an Old Series with a base of 1998-99, the latter of which utilizes a “Linking Factor” for long-term wage record maintenance. The February 2026 data indicate a general trend of relative stability across the state compared to the previous month. While major hubs such as Thiruvananthapuram, Ernakulam, and Kannur maintained steady index levels of 219, 210, and 224 respectively, there were minor localized fluctuations elsewhere. For instance, Kollam experienced a slight increase to 217, while Kozhikode saw a notable two-point jump from 224 to 226, signaling a rise in the price of essential commodities in that region.

Regional highlights from the report identify Kasargod as the centre with the highest cost of living, maintaining a peak index of 233. Conversely, Wayanad continues to be one of the more affordable regions for industrial and agricultural labourers, holding a lower index of 212. These variations underscore the importance of localized tracking over national averages, as they allow government bodies and businesses to address the specific economic realities of workers ranging from the southern districts to the northernmost reaches of the state.

[1] Document Ref: No.DES/1129/2025-P3(1)) dated March 17, 2026