Less rain than normal in 41% of the country, this may increase inflation | Less rain than normal in 41% of the country’s area, this may increase inflation


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  • Less Rain Than Normal In 41% Of The Country, This May Increase Inflation

New Delhi9 hours ago

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Weak monsoon rains are expected to slow down the pace of economic reforms in India. In a country with more than half the population dependent on rain-fed agriculture, food prices are worrying to rise further. Retail inflation in India is already running above the RBI’s upper limit of 6%.

Sowing affected due to delay in rain
Usually, starting from Kerala on June 1 and reaching other parts of the country, the monsoon has been calm for the last three weeks after initially above average rainfall. Below average rainfall has been recorded in 41% of India’s area. Due to this delay, sowing of crops like rice, cotton and soybean has been affected.


The absence of monsoon is expected to reduce farm income and rural demand in the coming times. The manufacturing and service sectors in the country are already going through a period of misery due to corona virus, in such a situation, the problems may increase due to the plight of the agriculture sector, which contributes 18% to the country’s economy.

July-August monsoon most important
Rahul Bajoria, economist at Barclay plc, says that the July-August monsoon is the most important for the sowing and production of crops in the country. Uneven rainfall and poor sowing may affect production. There is a risk of rising inflation. RBI is going to review interest rates next month.

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