Financial Daily from THE HINDU group of publications Thursday, Aug 26, 2004 |
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Agri-Biz & Commodities
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Foodgrains Govt raises foodgrain output target by 6 pc Our Bureau
Chennai , Aug. 25 THE Government has set 225.10 million tonnes (mt) as target for foodgrain production this crop year (July 2004-June 2005), up six per cent over last year's fourth advance estimate. "Assuming favourable weather during the rabi season, the production loss during 2004-05 kharif as a whole is expected to be marginal," an Agriculture Ministry statement has said. The Government expects the situation to be better for the rabi sowing starting October since the late setting in of the monsoon in the country is expected to help in preserving soil moisture. The Government has fixed a target of 93.50 mt for rice, a tad more than the record 93.34 mt during 2001-02. Even for wheat, it has fixed a target (79.50 mt) that is higher than the record crop of 76.37 during 1999-2000. "The impact of deficient/excessive rainfall in many parts of the country, as reflected in the decline in area under kharif crops compared with last year, is likely to be offset by revival of monsoon and re-sowing of crops in flood affected areas of the country," the Ministry said. In fact, the target fixed for the current year is higher than 220 mt fixed last year. The Government has also been encouraged by reports of better farm management practices by oilseed farmers. Reflecting this, it has fixed a target of 26.20 mt against a production of 25.14 mt last year. The other reason for the Government to be positive on the oilseeds front is in view of reports that farmers are shifting to the crop from coarse cereals and also due to higher minimum support price for it. Only in the case of coarse cereals has the Government fixed a target lower than last year's projected production (see table). Meanwhile, coverage of crops such as rice, oilseeds and pulses has increased. In oilseeds, castorseed acreage has risen to 5.63 lakh hectares (lh). However, it is lower than 6.74 lh during the same period last year. Farmers in Maharashtra and M.P. have gone in for largescale soyabean sowing and as a result, its coverage has increased by 10.1 lh at 78.60 lh. Good rains during the past month has also helped in raising the area under groundnut by 7lh to 56.28 lh. The area under sunflower and sesamum has also gone up by 2.9 lh and 0.8 lh respectively. The revival of monsoon has also seen cotton acreage rise to 80.76 lh, higher than the normal 79 lh. Rice sowing has improved to 291.14 lh (307.46 lh). As regards coarse cereals, the area under kharif has declined by 34.2 lh at 195.97 lh. The decline has been mainly in bajra coverage with the area dipping by 30.7 lh to 69.67 lh. Area under maize has increased by 0.2 lh, while jowar coverage is down 4 lh.
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