NEW DELHI (Reuters) -India’s annual wholesale value index (WPI) fell for the primary time in practically three years in April, as costs softened throughout the board.

WPI fell by 0.92% from the identical month a 12 months earlier, having risen 1.34% in March. The knowledge in contrast with a Reuters ballot that predicted a fall of 0.20%.

In April, the meals index rose 0.17% year-on-year, in contrast with 2.32% in March, whereas gasoline and energy rose 0.93% as in opposition to a 8.96% rise within the earlier month.

“High base effect and falling commodity prices will lend downward pressure on WPI inflation this year,” stated Madan Sabnavis, an economist at Bank of Baroda.

Low commodity costs will deliver down costs of manufactured items, Sabnavis stated.

WPI has been easing for the final 11 months from the 20-year highs of 16.63% recorded in May 2022.

The decline within the fee of inflation was broad primarily based, primarily pushed by falls in costs of crude, vitality costs, non-food and meals articles, the federal government stated in a press release.

Data launched on Friday confirmed India’s annual retail inflation eased to an 18-month low in April, staying effectively under the Reserve Bank of India’s (RBI) higher tolerance restrict for the second consecutive month.

(Reporting by Aftab Ahmed, Nikunj Ohri; Editing by Kim Coghill and Christopher Cushing)