Source: The Economic Times, Jan 28, 2019
New Delhi: India is poised for a record foodgrain production this year following a surge in the output of wheat and rice, the two major crops of rabi or winter sowing season, according to the first estimates released by the National Collateral Management Services (NCML), a leading post-harvest management company.
Horticulture output will also be more, including tomato, potato and onion, according to the government’s first estimate. The output is estimated to go up to 313.35 million tonnes (mt) in 2019-20 from actual output of 310.74 mt last year.
Wheat production in the 2019-20 rabi season is estimated to be 109 mt, 6.27% higher than last year’s output of 102.1 mt, the NCML estimates showed. The output of rice is estimated to go up 5% from last year to around 15 mt. As a result, total foodgrain production is expected to increase 6.19% to 152.7 million tonnes.
However, the NCML has estimated that production of pulses may dip 2% while the output of oilseeds is likely to decline more than 2.6%.
“Bountiful rains during monsoon season have boosted the prospects of crop production in the ensuing rabi season. This year is likely to see a record foodgrain production, led by the wheat crop along with corn and jowar. Oilseeds and pulses may end up lower than in the previous year,” said Siraj Chaudhry, managing director, NCML.
According to a report released by the company on Monday, excess production of wheat and rice will build on the existing surplus and stimulate additional market distortions. “Record domestic supplies will add to procurement and subsidy load. There is an imperative need to align the production basket to consumption needs so demand generating from growing population and changing lifestyles can be met domestically,” it said.
Meanwhile, overall onion production is estimated to increase 7% to 24.45 mt in 2019-20 crop year, in relief to consumers from high prices seen in the past few months. Production of potato is estimated to go up to 51.94 mt this year.