Business Matters | How lower Kharif crop production could affect the Indian economy

A video on lower Kharif crop production could affect the Indian economy

The government recently put out its first estimates for output of the Kharif crop. The figures seem a bit gloomy coming at a time when there has been talk about somewhat healthy GDP growth given the gloom in most of the rest of the world.

So why is the Kharif crop data important? This is because it contributes to about 60% of crop output in India. 

Kharif crops are sown at the beginning of the southwest monsoon season – ie, around end May to early June and are harvested post the monsoon rains, beginning October. Rice, maize, pulses such as urad, moong and millets are among the key kharif crops. Farmers also take advantage of the northeast monsoon and those crops are sown in the latter part of the calendar year or the Rabi season.

This time around the first estimates for Kharif show that the total foodgrains production has been estimated at 148.57 million tonnes (mt), which is 4.6% lower than the final estimates of last season’s kharif. Not only is the estimate lower than last year’s output, it is far lesser than the targeted 158 mt.

What does it mean for food prices?

Script and presentation: K. Bharat Kumar

Videography: Thamodharan Bharath