India's wholesale price-based inflation accelerated to a four-month high of 2.36 per cent year on year in October due to elevated food prices, government data released on Thursday showed.

Inflation for October was higher than the 2.2 per cent projected by economists in a Reuters poll, and up from 1.84 per cent in September.

Food prices rose 11.6 per cent year on year, compared to a 9.5 per cent gain in September, with vegetable prices soaring 63 per cent on-year, compared to a 48.7 per cent jump in September. Cereal prices rose 7.9 per cent over last year versus an 8.1 per cent rise a month ago.

Prices of manufactured products rose 1.5 per cent against a 1 per cent rise in the previous month.

Fuel and power prices dropped 5.8 per cent from a 4 per cent fall in September.

Headline retail inflation, which is a key gauge for the country's central bank to decide policy rates, has averaged 5 per cent over the past 12 months, but food inflation has held above 8 per cent, as weather shocks elevated prices of vegetables, cereals and other essential food items.

In October, retail inflation hit a 14-month high of 6.2 per cent while food prices jumped 10.9 per cent, dashing hopes of an interest cut.

India's rate-setting panel had softened its policy stance in October to "neutral" but Reserve Bank of India Governor Shaktikanta Das has said the change did not mean there will be a rate cut in the very next meeting.

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