Monsoon UpdateMonsoon progressed well during the week, with cumulative rainfall now 1% surplus of normal as compared to 25% deficit in the mid of June. Monsoon has now covered all major agricultural states. However, sowing is down 22% YoY, which is understandable given that Kharif season has been delayed by around 15 days. There has been a sharp drop in Cotton and Oilseeds sowing, as certain state governments including Maharashtra advised farmers against sowing Cotton till monsoon sets in.
The focus would now be on the progress of monsoon through July-August (around 60% of total South West monsoon), as rainfall was above-normal in June last monsoon also (CY15) but dwindled as the season progressed. However, both IMD and Skymet have forecast above-normal rains in July and August this monsoon.