The wholesale price-based inflation declined 1.81 per cent in June due to decline in prices of fuel and power, even as food articles remained expensive.
The rate of deflation in May was 3.21 per cent.
"The annual rate of inflation, based on monthly WPI (Wholesale Price Index), stood at (-1.81 per cent) (provisional) for the month of June, 2020, as compared to 2.02 per cent during the corresponding month of the previous year," the Commerce and Industry Ministry said in a statement.
Inflation in food articles during June stood at 2.04 per cent, as against 1.13 per cent in May. In fuel and power basket, deflation stood at 13.60 per cent in June, against 19.83 per cent in the previous month.
Manufactured products, however, witnessed inflation of 0.08 per cent in June. In May deflation was 0.42 per cent.
Meanwhile, the final print of April WPI inflation stood at 1.57 per cent, the ministry said.