The foodgrains output for 2009-10 is expected to be 16.27 million tonnes lower at 218.20 million tonnes than the record production of 234.47 million tonnes last year. The decline, mainly in rice, edible oils and coarse cereals, is due to the widespread Drought in the kharif season last year. Significantly, the government has slightly lowered the expected production of wheat in the fourth advance estimates to 80.71 million tonnes from 80.98 million...

The government today revised upward its estimate for foodgrain production at 218.20 million tonnes (mt) in the 2009-10 crop year. The upward revision came even as the estimates for output of rice, wheat and pulses were revised downward for the year. Even as the foodgrain production in 2009-10 is expected to surpass its earlier estimate, it continues to be lower than the output of 234.47 mt achieved in 2008-09. The fourth...

India expects a strong rebound in farm output, which will substantially reduce food price inflation that has soared since last year when the country’s worst Drought in 37 years hit crops, the agriculture minister said. This year’s June-September monsoon was 16% below normal last month, but rainfall has revived significantly, calming fears of shortages and higher prices. India also needs to ease tight controls on the sugar sector, agriculture minister Sharad Pawar...

Following a hike in the prices of petrol, diesel, gas, milk prices have also gone up. Between January 2007 and March 2010 the price of milk rose seven times in Delhi. The story is similar elsewhere in the nation too. In the last one year, prices increased from Rs 17 to Rs 22 a litre. In some cities, like Mumbai, the rise has been steeper. Earlier, it was pulses that were burning...

Sugar millers are cancelling import contracts due to a drop in domestic prices and are unlikely to sign new deals on expectations of a surge in local output, a top industry official told Reuters. The contracts had been signed late last year and early this year when domestic sugar prices rose to a record and the production outlook was lower. Since then the price has fallen by a third and the...