A recent report by the State Bank of India (SBI) has revealed that middle and high-income states in India have seen a more significant decline in food inflation over the last decade compared to their low-income counterparts. The report highlights the stark differences in food inflation trends between wealthier and poorer states, with a noticeable downward shift in food inflation in higher-income regions.

According to the SBI report, the middle and high-income states have experienced a more pronounced drop in food inflation, which reflects a broader trend of faster disinflation in these areas. Conversely, low-income states have seen a much slower decline in food inflation. The report attributes this disparity to the migration of labour from low-income states to more prosperous regions in search of better employment opportunities.