A deficient monsoon in August has shrunk India’s pulse sowing area for the Kharif season by nearly 10% compared to the previous year, raising concerns of a spike in pulse prices. In July, retail inflation hit a 15-month high of 7.4%, partially due to a 13.3% rise in pulse prices from June. Economists anticipate further increases, particularly in tur dal and moong dal, as sowing isn’t expected to improve due to poor rainfall. Persistent price pressures for cereals and pulses, along with volatile vegetable prices, pose challenges. Importing tomatoes and imposing onion export duties are among the government’s measures to stabilize prices.
Below-Par Monsoon Threatens Pulses and Inflation in India
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