Field crops to benefit farmers, growth projected between 11 to 13 percent, slower than last year, a research

September 28, 2019 6:17 PM |

Agriculture in India

In recent research by CRISIL, it has come to notice that farmer’s profits from field crops are likely to grow 11% to 13% during this Kharif or summer crop season.

However there stands a chance that the food grain production might fall, as it has been hit by unpredictable rainfall in some areas and pests in others, higher demand and higher mandi prices will help farmers. The CRISIL economists added to this and mentioned that the projected profit growth rate is still lower than last year’s rate of 16%.

After three years of record production, Kharif output is likely to decline 3% to 5% this year, with sowing acreage and yields both hit by the uneven distribution of rainfall. The chief economist of CRISIL, Dharmakirti Joshi said that the overall quantum of rainfall is normal, but there was a 33% deficiency in June, which affected paddy acreage mostly in eastern India, and then excess rainfall affecting some crops in August.

But the good news is that abundant rains in August have also improved the chances of a healthy rabi season, which is more dependent on irrigation, recharging of groundwater and higher reservoir levels.

CRISIL researchers also pointed out that deficient rains mostly impacted Haryana and West Bengal, which both have irrigation coverage higher than the national average, mitigating overall impact to a certain extent. However, farmers in certain pockets within States such as western Uttar Pradesh and Marathwada were also hit by deficient rainfall, while parts of Madhya Pradesh, Gujarat, Karnataka, and Rajasthan are likely to have crop losses due to excess rainfall.

As per the CRISIL’s findings, erratic rainfall had the worst impact on paddy, but groundnut and sugarcane may also be affected.

The surplus production of the last few years has led to stagnant food inflation and low mandi prices for many crops, impacting farmers' profitability. This year, demand factors may help push up prices, especially for cash crops and oilseeds. CRISIL Research’s director Hetal Gandhi said that the plastic ban in many States may increase demand for jute products. She further added that the lower production of paddy and other cereals will also help prop up prices, especially if supported by a robust government procurement system.

Overall, CRISIL projected that mandi prices would be 10% higher than last year, with revenues rising 7% and profits at least 11% for all Kharif foodgrain crops. For 15 key MSP (Minimum Support Price) linked crops — barring sugarcane — per hectare crop profitability is likely to rise 21% from last year.

Image Credits – The Hindu Business Line

Any information taken from here should be credited to Skymet Weather


For accurate weather forecast and updates, download Skymet Weather (Android App | iOS App) App.

Weather Forecast

Other Latest Stories

Weather on Twitter
Sunday, October 13 22:15Reply
ओडिशा से मॉनसून की वापसी जल्द शुरू : t.co/vcnCDWpZ4F #Hindi #Odisha
Sunday, October 13 22:00Reply
#Marathi: मुंबईत १९ आणि २० ऑक्टोबर रोजी एक दोन जोरदार सरींसह तुरळक पाऊस सुरु राहण्याची शक्यता: t.co/cVwBR9Ki1r #Mumbai #MumbaiRains
Sunday, October 13 21:45Reply
#Tripura, #Manipur, #Mizoram to receive rains for the next few days: t.co/POHXFt9TaN
Sunday, October 13 21:15Reply
Have a look at the current status of #pollution in #DelhiNCR: t.co/gWCoMcBy9I
Sunday, October 13 20:45Reply
#JammuandKashmir has been reopened to tourists from the last few days, more than two months. As the ban is lifted,… t.co/qpcb7vwP8y
Sunday, October 13 20:45Reply
#Hindi:दिल्ली में आज भी वायु की गुणवत्ता खराब रह सकती है. यह लगातार चौथा दिन होगा जब हवा में प्रदूषण का स्तर 'खराब'… t.co/a2F6XZrF93
Sunday, October 13 20:15Reply
दक्षिण पश्चिमी मॉनसून राजस्थान से विदाई ले चुका है। फिलहाल एक विपरीत चक्रवाती हवाओं का क्षेत्र राजस्थान पर बना हुआ… t.co/ZOAvycZB85
Sunday, October 13 19:56Reply
#Hindi: उत्तर भारत में शुष्क मौसम का पूर्वानुमान | #WeatherForecast t.co/xDA4vmFlMP
Sunday, October 13 19:30Reply
At least 26 people have been killed as a result of powerful #TyphoonHagibis that slammed into #Japan. Japan’s milit… t.co/eMVu4dbw6I
Sunday, October 13 19:07Reply

latest news

Skymet weather

Download the Skymet App

Our app is available for download so give it a try