India's foodgrains production is pegged at a seven-year low of 184.07 million tonnes in 2002-03, a major decline of 13.2 per cent against record production of 212.02 million tonne last year, in the third official advance estimates released on Friday.
The Reserve Bank on Friday said the economy would grow by 5 to 5.5 per cent in the current fiscal, pinning its hopes on good farm output and improved exports.
States need to create alternative marketing structures for farm produce since middlemen also provide vital services that are otherwise unavailable to the farmer.
Is it sustainable?' 'Or is it like an overdose of a medicine that saves your life in the short run but kills you through long-lasting side-effects?' asks Shekhar Gupta.
Food subsidy bill rises 20% in April-January
Poor rainfall has also depleted water reservoirs levels, which is likely to impact the winter crops.
The government is likely to name a successor to Rajan sometime this month
A third of FMCG sales and half of motorcycle sales come from the hinterlands
Calling for availability of all necessary equipment for medical professionals, she said the onus lies on the government to ensure that the spread of infection and casualties are not caused owing to lack of infrastructure or preparedness.
It would be advisable to look to companies that reported attractive growth during the first quarter, says Mudar Patherya
Some say the MPC will raise the rate, while others are of the view that there is already de facto interest rate tightening through rising bond yields, which might prompt the central bank to go for a pause.
The area-based income compensation scheme says that farmers should be paid the difference between the actual price they get and the state-mandated MSP. The compensation will be determined on a per acre basis by using district-level estimates of marketable surplus and prices in the harvest season.
Travel time, too, has not fallen much after the abolition of octroi with trucks still queued up at regional transport offices and toll tax plazas.
Agriculture, which accounts for 14% of GDP grew at 3.2% in the quarter
In the retail markets, rates have fallen to Rs 30-35 a kg from Rs 100-level.
Announcing MSP at an elevated level will not be enough. Growers must be able to procure inputs, such as quality seeds, plant nutrients and irrigation water at reasonable prices, says Kunal Bose.
According to government data, the prices have still not crossed the MSPs in some mandis.
Five people, including a minor girl, died and as many injured in separate incidents during heavy rains in Kullu, Kangra and Chamba districts of Himachal Pradesh.
What stocks will gain from a normal monsoon?
Banking shares are down up to 11% after the Reserve Bank of India has increased the policy repo rate by 25 basis points from 7.25% to 7.5% with immediate effect.
Onion prices have been rising due to speculation amid anticipation of below normal monsoon despite sufficient supply in the country.
Drought fears will subside if the momentum generated is maintained in August.
Monsoon is expected to cover central and eastern India after Tuesday.
A below-normal monsoon can bring down India's GDP growth by 0.50-0.75 per cent this financial year, forcing the Reserve Bank to delay rate cuts to 2015, Bank of America-Merrill Lynch (BofA-ML) said.
Progress of monsoon, investment trend by foreign investors and the movement of rupee against the dollar will also influence sentiment
The RBI has targeted consumer price inflation at 6 per cent by January and 4 per cent by March 2018.
The 40-year-old Indus Water Treaty between India and Pakistan has been an outstanding example of conflict resolution but scarcity of water in the basin states since the early 1990s has brought the agreement under strain and its "survival appears weak", according to a UN report.
In the current fiscal so far, retail inflation stabilised around 5 per cent, while wholesale price-based inflation averaged around 2.9 per cent during April-December.
'It is not simply demonetisation or GST, it is this government's failure to manage the financial sector crisis.'
Not only primary vegetables, but also additives like garlic, ginger and chilly have recorded a sharp increase in prices
The environment ministry is likely to allow generic modification of food crops.
All is not well with Telengana and its Chief Minister K Chandrasekhar Rao
They are worried at more than one forecast of a possibly weak monsoon, reports Dilip Kumar Jha.
Timely onset of south-west monsoon is crucial for kharif (summer) crops.
Budget 2018 bears imprints of a government unsure of second term with clear majority, says Shekhar Gupta.
Agriculture implements that are currently taxed up to 18 per cent may come under the 12 per cent or the 5 per cent bracket.
Despite the growing clamour from the central government on India turning digital, and banks requesting direct bank account transfer, the state government decided to hand over cheques to the farmers, which can be immediately converted into cash.
Retail inflation measured by the consumer price index has risen sharply across food and non-food constituents, including services, keeping inflation expectations high, the Reserve Bank of India said in its Second Quarter Review of Monetary Policy 2013-14.
Higher rural incomes, pay commission benefits, and lower interest rates are key positives: Analysts
Reserve Bank, in its mid term review of the monetary policy on Friday, decided to hike short term policy rate by 0.25 per cent after a gap of two years and ease liquidity by reducing the marginal standing facility rate for banks.
