Financial Daily from THE HINDU group of publications Tuesday, Mar 14, 2006 |
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Agri-Biz & Commodities
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Wheat Rains may prove beneficial to wheat crop M.R. Subramani
After effects The showers have resulted in temperatures falling Discolouration of crops in Madhya Pradesh Spot, futures prices witness increase
Chennai , March 13 Last week's rain in North India could turn out to be beneficial to the wheat crop. But hailstorm in parts of Madhya Pradesh and Maharashtra has damaged the crop there. In view of the rains, arrivals in the North could be delayed, though harvest has begun in Madhya Pradesh. "Rains have helped to lower the temperature in the North. This will definitely boost wheat production," said Dr J.K. Singh of the Indian Agricultural Research Institute, New Delhi. There were initial fears that higher than normal temperatures during February could affect the crop. Now that the rains had come, the fears have receded, he said. "Hailstorm has caused damage mainly in Madhya Pradesh and to some extent in Maharashtra," Mr Singh said. "There is some advantage from the rains last week. The sunshine is back and this should help the crop, though strong winds could have caused the crop to fall in some areas," said Mr Vinod Kapoor, President of Wheat Products Promotion Society. "The rains, as such, are good for the wheat crop. Arrivals could be delayed by a week to April first week," he said.
UP unaffected
Mr Anirudh Agarwal of Agra Flour Mills said the crop had been generally unaffected in Uttar Pradesh. "There has been some damage in the Mathura region and small parts in Rajasthan. But it is meagre," he said. On the other hand, Mr Sunil Mukhati, a grower in Madhya Pradesh, said the crop had been damaged by hailstorm last week. "There has been a heavy damage due the rains. The crop had been harvested and the rains have led to discolouration of the grains. This will lead to a lower realisation of Rs 100 a quintal for us," he said. Rains and hailstorm, besides damaging the crop, have also claimed 40 lives in Madhya Pradesh.
No change in output
However, the rains have not resulted in the officials either raising or lowering of crop production. The Centre has pruned the production estimates to 73.01 million tonnes (mt) from initial projections of 75.5 mt. Trade and other players, however, are projecting a crop around last year's level of 72 mt. According to the Ministry of Agriculture, wheat coverage this year has increased to 267.11 lakh hectares against 265.08 lakh hectares last year, with gains coming from Gujarat, Maharashtra, Bihar, Rajasthan, Uttar Pradesh and Uttaranchal. The rains, however, have resulted in the prices rising. In New Delhi, wheat dara increased to Rs 990-5 a quintal from Rs 962-5 during the weekend. In Hapur, the prices have increased Rs 1,010-20 a quintal. On NCDEX, wheat for April delivery was up at Rs 789 from Rs 785 a quintal during the weekend. On MCX, wheat for April was up at Rs 800 from Rs 797 and for May delivery it ruled at Rs 807 against Rs 800.
More Stories on : Wheat | Climate & Weather
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