“Rise in energy, petrochemicals and metals points to renewed cost-push inflation with broad-based acceleration with inflation in Fuel and Power increasing to 27.41%, Manufactured Products to 7.48%, and Primary Articles to 7%. Persistent increases in wholesale prices, particularly in upstream industries, could gradually pass through to downstream manufacturing and consumer prices with a lag unless offset by productivity gains or lower input costs” said Mr. Rajeev Juneja, President PHDCCI.

“Higher prices of petroleum products primarily reflect increased crude oil inventory and refining costs. Since petroleum products constitute a major input for freight transportation, logistics, aviation, power generation and industrial production, sustained increases are expected to raise operating costs across multiple sectors”, he added.

The revised WPI basket has been expanded from 697 to 957 items, incorporating emerging sectors and improving the representation of the evolving structure of the Indian economy. The new series also adopts Gross Value of Output (GVO) as the basis for weights, introduces improved methods for index compilation and missing data imputation, and reorganises the energy basket by placing crude petroleum and natural gas under the Fuel and Power group. Renewable energy sources, including solar and wind, as well as nuclear electricity, have also been incorporated into the index.

Introduction of the revised Wholesale Price Index (WPI) series with base year 2022-23 along with the launch of Output Producer Price Index (OPPI), Trial Input Producer Price Index (IPPI) and Service Producer Price Indices (Service PPIs) is a welcome move, he added.

The chemical industry has experienced rising prices owing to higher feedstock costs linked to crude oil and natural gas, increased prices of imported intermediates and stronger demand from pharmaceuticals, construction materials, automobiles and consumer goods industries.

Food inflation at the wholesale level (5.49% YoY) has increased, reflecting higher prices of processed food products and selected agricultural commodities. However, food price pressures remain considerably lower than energy-related inflation.

“The latest wholesale inflation data indicate that energy and commodity prices continue to be the principal drivers of producer inflation, due to persistent geopolitical challenges, will put pressures on corporate margins in the short term”, said Dr. Ranjeet Mehta, CEO & Secretary General, PHDCCI.

The policy introduces fiscal incentives for electric vehicles, exemptions from road tax and registration charges for eligible vehicles, scrappage incentives for older vehicles, a significant expansion of charging infrastructure, and a phased transition towards electric mobility across various vehicle categories. The government has also announced a proposed investment of around ₹15,000 crore to support the development of the EV ecosystem during the policy period.

“The Policy reinforces the role of clean mobility as a key driver of Delhi’s future economic growth and sustainable urban development. By providing greater policy certainty, it is expected to improve the investment climate, accelerate innovation in electric mobility technologies, expand domestic manufacturing, and create employment across the EV ecosystem. At the national level, the Policy aligns with India’s broader objective of strengthening globally competitive manufacturing through the Make in India initiative”, said Rajeev Juneja, President, PHDCCI.

The policy extends well beyond promoting electric vehicle adoption and has the potential to stimulate investments across multiple sectors, including battery manufacturing, charging infrastructure, renewable energy integration, power distribution, electronics, automotive components, software solutions, fleet management, financing, recycling and circular economy services.

Key Highlights & Provisions

The Delhi EV Policy 2.0 (running through 2030) introduces ambitious subsidies, scrappage benefits, and stricter mandates to promote greener transport.

1.      Tax Exemptions: 100% waiver on road tax and registration fees for EVs priced up to ₹30 lakh (ex-showroom).

2.      Purchase Subsidies: Incentives of up to ₹30,000 for electric two-wheelers and up to ₹50,000 for three-wheelers.

3.      Scrappage Incentives: Up to ₹1 lakh incentive for scrapping old BS-IV or older cars.

4.      Deadlines for ICE Vehicles: No petrol motorcycles/scooters can be registered after March 31, 2028, and new CNG auto-rickshaw registrations are set to stop at the end of 2026.

5.      Charging Network: Expanded infrastructure mandates that require every EV dealership to host public charging stations.

“The planned expansion of public charging facilities and battery-swapping infrastructure is expected to stimulate investment across multiple segments of the electric mobility ecosystem. Opportunities are likely to emerge for infrastructure developers, private investors, technology firms, and start-ups engaged in EV-related services. As electric vehicle adoption accelerates, demand is also expected to rise for advanced battery technologies, power electronics, semiconductors, charging hardware, digital payment platforms, predictive maintenance applications, and intelligent energy management solutions”, said Dr. Ranjeet Mehta, CEO & Secretary General, PHDCCI.

The policy will deliver important macroeconomic benefits through reduced dependence on imported fossil fuels, lower urban emissions, improved public health outcomes and increased private investment in future-ready industries. The policy is also expected to encourage innovation in electric mobility technologies while supporting India’s commitments towards sustainable development and the transition to a low-carbon economy.

Further, the policy aligns with several national initiatives, including the Production Linked Incentive (PLI) Schemes for the automobile and Advanced Chemistry Cell (ACC) battery sectors, the National Electric Mobility Mission and India’s target of achieving net-zero emissions by 2070. Together, these initiatives can strengthen domestic value addition, enhance supply chain resilience and improve India’s competitiveness in the global EV market.

PHDCCI works closely with policymakers, and industry stakeholders to support effective implementation of the policy and facilitate the development of a robust, competitive and sustainable electric mobility ecosystem that contributes to economic growth, industrial transformation and environmental sustainability.

The scheme provides government-backed credit guarantees to banks and financial institutions, enabling faster and collateral-free emergency lending to eligible businesses, he added.

ECLGS is designed to address temporary liquidity shortages faced by industries during periods of economic stress by reducing lending risk for financial institutions through sovereign-backed guarantees to enable continued credit flow to viable businesses across manufacturing, services, trade, logistics, healthcare, hospitality, aviation, and among others.

Under the scheme, eligible firms are able to access additional working capital support without the requirement of fresh collateral which will help industries meet operational expenses, maintain production cycles, pay suppliers, and retain employees, he added

The availability of guaranteed emergency credit will help MSMEs:

• Maintain working capital operations
• Continue wage payments
• Procure raw materials
• Prevent supply-chain disruptions
• Avoid insolvency and business closures

“Further, the scheme will play an important role in stabilizing industrial supply chains and protecting employment. By ensuring continuity of credit production stoppages are reduced, vendor payment cycles are maintained and large-scale layoffs were mitigated”, added Juneja

The government guarantee mechanism supports financial-sector stability by encouraging banks and non-banking financial institutions to continue lending during uncertain economic environment. The scheme continues to be regarded as one of India’s largest emergency credit-support interventions aimed at safeguarding industrial activity, MSME resilience, and employment continuity said Dr. Ranjeet Mehta, SG & CEO, PHDCCI.

Shri Hemant Jain, President, PHDCCI and Managing Director of KLJ Group of Companies, brings his vast experience and visionary leadership to the helm of PHDCCI. On his new role, Shri Jain expressed, that It is an honor to lead PHDCCI at this pivotal time. I am committed to building on the strong foundation laid by my predecessors and working closely with all stakeholders to drive innovation, industry growth, and a self-reliant India for Viksit Bharat @2047, marching towards the peak of progress.

Shri Rajeev Juneja, Sr. Vice President, PHDCCI and Vice Chairman & Managing Director of Mankind Pharma Ltd, added, I am excited to take on this new role and work alongside Shri Hemant Jain to further strengthen the Chamber’s initiatives and foster a positive business environment in India.

Shri Anil Gupta, Vice President, PHDCCI and Chairman cum Managing Director, KEI Industries Ltd. shared his thoughts on taking up the new position, and discussed that It is a privilege to step into this leadership role at PHDCCI. I look forward to working closely with the new team to foster greater collaboration across industries, enhance business opportunities, and contribute to India’s economic and industrial growth, with a focus on sustainability and innovation

Shri Sanjeev Agrawal, Immediate Former President and Chairman of MMG Group, reflected on his tenure, and stated that serving as President of PHDCCI has been a fulfilling experience. I am confident that under Shri Hemant Jain’s leadership, the Chamber will continue to scale new heights and contribute meaningfully to the nation’s progress.

Dr. Ranjeet Mehta, CEO & Secretary General, PHDCCI, welcomed the new leadership team and said that we are fortunate to have such accomplished leaders guiding PHDCCI as an institution. Their combined expertise and vision will be invaluable as we continue to advocate for the interests of the industry and contribute to nation-building efforts.