Southwest Monsoon arrival cheer Kharif farmers; 53% of area already cultivated

Shree Pushkar Chemicals & Fertilisers Q1 | Profit at Rs 1.01 crore versus Rs 6.35 crore, revenue at Rs 63.8 crore versus Rs 92.1 crore YoY. (Image: Reuters)

With India receiving southwest monsoon rains, farmers sowing Kharif crops can now breathe a sigh of relief. Kharif, grown in at least 23 out of the 29 states, affects livelihood of many farmers.

Sowing on over 53 percent of the total area cultivated with Kharif crops has already been completed, showed data released by the agriculture ministry, said a Livemint report. That is 12 percent higher than five-year averages and 8 percent higher that the land cultivated in the same period last year.

The India Meteorological Department (IMD) has predicted that the rains will increase to 98 percent of long-term average in July from the earlier predicted 96 percent.

What are Kharif Crops?These are commonly called monsoon crops, implying that these crops are water intensive. These crops are harvested after the monsoon is over. Paddy, rice, maize and cotton are main Kharif crops.

What is Southwest Monsoon?The Southern Hemisphere winds cover India during summer. The reversal of these winds, back to its origin and crossing the Equator's trade winds causes southwest monsoon in India. The monsoon starts in June and goes on till September, making it season for sowing of Kharif crops.

How can the Monsoon Help Farmers?According to a report by Skymetweather, the country recorded a surplus in rainfall by 18 percent as on June 12. This is a leap from the earlier deficiency in rainfall before 2016. If there is normal rainfall in the country, then at least  65 of the 650 districts can face drought. But with surplus in rainfall, the Kharif farmers, who cater to 65 percent of the crop cultivation in India, are at an advantage.

With good monsoon come good harvests. With high yields, farmers will be able to repay their farm loans. Four state governments — Uttar Pradesh, Maharashtra, Punjab and Karnataka — recently announced farm loan waivers.

A recent analysis by Fitch, said that the four states which trimmed their state budget to fit in farm loan waivers can dent finances. The analysis suggests that the other states could also face pressure to trim their state budgets, risking slippage in the growth.

If a farmer has applied for an agricultural loan, the farmer is directly under the crop insurance scheme. While the farmer can benefit from the repayment of their loans, he can also enjoy claiming his insurance if all goes well. Even if it does not, the insured farmers are promised to get an insured amount equal to the money they borrowed.

The insurance schemes offered by the Agriculture Insurance Company of India (AIC) could help farmers secure their crops. Kharif farmers will have to pay a premium between 2.5 and 3.5 percent of the sum insured by the government. If they do so during the time of their successful yield, they will be able to pertain a secure crop season in the next term.