InvestorQ : What is the outlook for monsoon for this season? Will it boost Kharif output?
Dilmini Mercia made post

What is the outlook for monsoon for this season? Will it boost Kharif output?

Answer
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Khushi Patel answered.
2 months ago


Agriculture related stocks have reasons to celebrate as there is good news on the rainfall front. With monsoon covering all key regions early, crop planting has risen 14% in this year. This is true across major crops including rice, corn, cane, cotton and soybean. The IMD has estimated that the rainfall in August and September would be close to 104% of the LPA.

The acreage or land area usage was up more than 20% in the case of rice and pulses, which are the core food crops. Higher output is the key to expanding farm incomes and also to keep food inflation in check. CPI inflation has shot above the 7% level in the last 2 months. It may be recollected that RBI has kept an informal limit of 4% for inflation with 2% range.