InvestorQ : What is the latest update on the rainfall this year and what could it mean for markets?
Riya Dwivedi made post

What is the latest update on the rainfall this year and what could it mean for markets?

Answer
user profile image
1 year ago


The last estimate by IMD was of a Normal Monsoon this year. What it means is no droughts and healthy agricultural output. But again it is an estimate. No one can say when the El Nino effect can alter the situation.


user profile image
rhea Babu answered.
1 year ago


In fact, the IMD has just announced that the pre-monsoon rainfall has been short of the last year by nearly 27%. Pre monsoon rainfall is quite critical to the sowing season in areas in the North East and the Western Ghats. The pre-monsoon showers are spread through the months of March to May and are useful in bringing down the temperatures. This also plays in improving the rainfall during the main monsoon season. A 27% shortfall is quite large and that may impact the sowing season across key regions. Also, this could delay the rainfall n the North Western region, which could create its own sowing delays for the Kharif and Rabi season. We will have to await the June update to get a clearer picture.