Source: Business Standard
The shortfall in the main kharif season was made up in the rabi crop. Prices are expected to remain subdued this year. The monsoon, forecast as normal, has arrived on time and its progress over the next few months will be crucial for production. The USDA has now forecast a record crop in the US, making for lower demand for exports from India. However, so far the agriculture ministry has proposed a Rs.135 a quintal increase in the minimum support price (MSP) for maize, 11.5 per cent higher than last year’s. Depending on what is finally implemented, a raise in MSP will keep a floor on any dramatic fall in prices.
IPM data till week ended June 8. The Indicus Price Monitor (IPM), a product of Indicus Analytics Pvt Ltd, tracks real-time wholesale prices for 60 agricultural products from more than 3,000 mandis across the country. Due to differences in methodology, the actual levels of the IPM differ from the corresponding Wholesale Price Index (WPI). However,broad trends are in sync.