Erratic monsoon to impact economy

It is now confirmed that the country has been let down badly by the monsoon this year. According to government figures it's 23 per cent below normal across India but it's much worse in northwest India where is it 40 per cent below average.

This means that now a substantially reduced crop of paddy, sugarcane, pulses and oilseeds. These are the items that make up India's staple diet.

Economists are now worried, as a drop in production would mean less income and higher prices.

The government had already admitted that this year is not going to be good for the farm sector.

Speaking in Parliament on Monday, Food and Agriculture Minister Sharad Pawar said that the government will provide more money to states to deal with the situation arising out of deficient monsoon.

Pointing out that no proposal for assistance has been received by the Centre, he said, "We will give support to Bihar, Uttar Pradesh or any other state".

Meanwhile, the southwest Monsoon has been vigorous in Orissa, according to the Metrological office.

It has been subdued over Arunachal Pradesh, Jammu and Kashmir, Rajasthan, Marathwada, Rayalaseema, Tamil Nadu and north interior Karnataka, it added.

(With PTI inputs)

Tags: crop, economy, India, monsoon, rain

• Also See