Farm sentiments remained buoyant driven by healthy monsoon: ICRA

by Nidhi Bhati

Farm sentiments have remained positive driven by healthy monsoon and further optimism of a good kharif crop, as per ICRA Ratings. Agriculture income is likely to benefit over the medium term aided by increased government focus on rural income coupled with the recently introduced farm reforms. Moreover, the rating agency noted that the rural household incomes have stayed resilient in the face of the Covid-19 pandemic and have been supported by healthy farm cash flows across regions, aided by high levels of rabi procurement under various government schemes after a season of bumper harvest. Further, increased government support through schemes like MNREGA and PM-KISAN have helped in creating employment and easing liquidity pressure on rural incomes, brought about by large scale reverse migration from urban to rural areas post the imposition of the nationwide lockdown, it added.