Paddy output may decline 2.5%: FAO

India’s rice (paddy) output is likely to decline by a marginal 2.55 per cent this year on delayed monsoon and uncertainty over follow-up rain in the agriculturally crucial month of July.

According to the latest estimate by the United Nations Food and Agriculture Organisation (FAO), the country’s paddy output may decline to 145.2 million tonnes (MT) in 2009 after hitting a record of 149 MT in the previous year. In 2007, total paddy output was recorded at 145 MT.

Currently, sowing of kharif coarse grains and paddy for harvest in September is underway in the country. The early outlook for kharif crops is unfavourable because of the delayed south-west monsoon in some major producing regions. By July 2, the all-India cumulative rainfall was 46 per cent below average. However, the final outcome would depend greatly on the development of the monsoon rain in July and August, the report said.

The forecast envisaged total cereal output at 260.6 MT this year as against 265.4 MT in the previous year. The agency had reported 261.5 MT of total cereal output in 2007.

Harvesting of the wheat crop for 2009 is also almost over with primary estimates put at 77.6 MT, below the previous record set last year at 78.4 MT, but much higher compared to the five-year average of 72.85 MT.

In 2007, however, wheat output was recorded at 75.8 MT, the report said. The government has allowed export of 650,000 tonnes of wheat following the cereal’s procurement in 2009 at over 24 MT, much higher than the previous year.