Outlook for agri input players improves as monsoon deficit is wiped out

Companies likely to post high single-digit growth during Q2 compared to a decline during June quarter

Improvement in rainfall intensity starting August is likely to offer respite to agri input companies, which had posted a soft performance during the June quarter due to the delayed monsoon. Rainfall has moved from a deficit of 33 per cent in June to an excess of two per cent the past two months. Due to this, the sowing deficit has also fallen to two per cent year-on-year from 26 per cent at the end of June, suggests Edelweiss’ data.

The increased sowing is good news for agri input players, and should result in a better performance in Q2. The June