DK Joshi, chief economist at Crisil says the current monsoon situation in the country is similar to the drought of 2009.
In its report, ' Monsoons- 2009 situation yet again? ' Crisil has said the impact of deficient rainfall is worse in case of some crops when compared to the 2009 situation.
"Pulses, oilseeds and coarse cereals impacted the most so far," Joshi told CNBC-TV18 in an interview.
Crisil measures the impact of rainfall using an index named Deficient Rainfall Impact Parameter (DRIP) that was developed in 2002. DRIP is based on the premise that both the availability of irrigation and the level of precipitation affect crop production. Accordingly, it is computed as a product of percentage deviation of rainfall and percentage un-irrigated area.
The situation may improve if rains pick up August-September, Joshi believes. "We see the GDP being impacted by 0.7% due to weak monsoon," he says.
Joshi says the government spending is set to rise of monsoon does not pick up soon.
Meanwhile, the Met Deparment continued to put on a brave face.
The monsoon rains will "fill up" the deficiency in coming days, said LS Rathore, director-general of the India Meteorological Department.
"The only problem is north-west India where rains are poor. That is primarily coarse cereal area," Rathore said after a meeting with Food Minister KV Thomas.
Monsoon rains have so far been 22% below average since the start of the season in June and the government said on Monday overall rainfall was now likely to be below average. Latest weekly rainfall data will be released later on Thursday.
Moneycontrol news
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