NEW DELHI, Sept 17 Reuters India39;s wholesale price index rose 1.31 in August from a year earlier, government data released on Tuesday showed.

Economists polled by Reuters had estimated wholesale price inflation at 1.85 in August. Inflation was at 2.04 in July.

Food prices rose 3.26 yearonyear from a 3.55 increase in July. Cereal prices rose 8.44 over last year, compared to an 8.96 onyear increase in July.

Vegetable prices fell 10.01 onyear from a 8.93 drop in July.

Manufactured product prices increased 1.22 yearonyear against a 1.58 rise in the previous month. Fuel and power prices fell 0.67 onyear compared with a 1.72 increase in July.

Last week, data showed India39;s retail inflation remained below the central bank39;s target of 4 for the second consecutive month, but vegetable prices continued to soar, dampening hopes of a dovish stance in the next monetary policy meeting.

Reporting by Shivangi Acharya and Manoj Kumar; Editing by Sonia Cheema

Source Reuters