India’’s rain deficit could rise to 18%: Goldman

admin — Mon, 10 Aug 2009 19:42:11 +0000

Goldman Sachs stated that from the current 8% rainfall deficit estimated in India, the deficit could increase to 18% during the July-September period according to the India Meteorological Department. However, this in turn would see a decline in the agricultural growth to negative 2% year-on year, down from the previous estimate of 1.4%. Additionally, the monsoon is an integral part of the agricultural growth in India, since 60% of cropland is not irrigated and therefore it relies mainly on the rainfall.

Moreover, it said that the decline in rainfall has worsened from 19% of the long-period average till date last week, to 25% currently, while the rains in summer prepare the ground for the winter crop which might also be affected due to the shortage of rainfall. However, it gave a warning that the October-November festival season is sensitive for the winter crop and as a result may suffer.

Back up” plan to deal with truant monsoon: Finance Ministry

admin — Tue, 21 Jul 2009 15:06:17 +0000

The government stated that in order to counter balance the impact of the delayed monsoon on agriculture and the country’’s economic growth, it would prepare a “back up” plan. Finance Secretary Ashok Chawla said; since the delayed monsoon is the primary concern, a back up plan will be required. However, as of now, the magnitude of what is necessary, what is likely to be necessary is not very high and even not completely known; hence, it is something that will develop as the condition becomes clear. Additionally, when asked whether the government is working out a contingency plan to counter the situation, he said the Centre and state governments are trying to ensure sufficient supply of power and diesel for farmers to help them take advantage of ground water resources to the maximum.

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India’’s rain deficit could rise to 18%: Goldman

Back up” plan to deal with truant monsoon: Finance Ministry