Retail inflation in Delhi, J&K more than double national average, demonetization possible reason: ASSOCHAM
After speculations of an uneven monsoon were clarified by the Indian Meteorology Department (IMD) earlier today, apex industry body ASSOCHAM revealed that the announcement comes as a 'relief'.
"The IMD forecast about the 'normal' monsoon this year is a relief as certain doubts were being raised whether the country would get normal rains for the second year in succession. However, since the IMD has forecast the long period average of 96 at the lower end of the band of 96-104 for the normal rains, some kind of a contingency plan should still be made, just in case a deficiency arises," said D S Rawat, Secretary General, ASSOCHAM.
With regular monsoon rains, Rawat believes that India would witness a robust agricultural growth continuously for two years; reaping a record 272 million tonnes of foodgrains (second advance estimates) during 2016-17.
"This would have several positives for the economy, including modest inflation and vibrancy in the Gross Domestic Product (GDP)," he added.
On Tuesday, the IMD predicted normal southwest monsoon for this year.
"This year we are expecting normal distribution and quantity of rainfall across the country with 96 percent of the long period average with a model error of plus or minus five percent," DS Pai, Head of Climate Prediction, IMD, told ANI.
He further said that the IMD would forecast the monsoon arrival around mid of the next month.
KJ Ramesh, the chief of the MeT department said the combination of a weak El Nino and positive Indian Ocean Dipole is expected to give a positive monsoon for India this year, thus proving to be advantageous to farmers.
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