July 23, 2010

Brighter crop outlook for India with improving rains

India's monsoon rains have improved from the previous week, providing better soil conditions and lifting hopes of good harvests.

Total rainfall since June 1, the start of the four-month season, was 12% below average, but heavy, well-distributed showers in early July and the past week have softened and moistened the soil, helping planting of soy, corn, cotton and rice.

In the previous week, rainfall was 24% below normal, raising concerns of crop loss.

"A 10-20 % rainfall deficit does not ruin production prospects for summer crops as long as they are sown on time," said H.S. Gupta, director of the Indian Agricultural Research Institute.

"I am still optimistic about the success of this year's monsoon and farm output," said Gupta, whose institute was the research hub during India's green revolution in the sixties.

Farm scientists said that the even distribution of monsoon rains will help crops. "This year's monsoon rains have been distributed well except in some part of eastern and western India," said A.K. Singh, deputy director general at the government-run Indian Council of Agricultural Research.

The weather office said soy-growing areas in central India received below-normal rainfall in the past week, but rainfall in the region is expected to increase.

"The soy crop is still in good condition, but needs more rains for healthy growth," said Rajesh Agrawal, coordinator of the Indore-based Soy Processors Association of India.

India's monsoon is expected to intensify within 10 days and deliver normal rainfall in the June-September season despite a lean patch in mid-July.

The country's soy area was 6.1 million hectares until last week, up 1.7 % from 6.0 million hectares in the year-ago period, said farm ministry's latest update.