Online Export Import Data Search

Complete Training Video : Click Here

A good monsoon outlook will be gamechanger for economy, stocks.

Date: 13-05-2017
Subject: A good monsoon outlook will be gamechanger for economy, stocks
India being an agrarian economy, monsoon rains are very important. The agriculture sector accounts for roughly 15 per cent of India’s GDP and 40 per cent of the rural economy and nearly 20 per cent of agriculture GDP is directly dependent on the monsoon rains. 

The Indian Meteorological Department (IMD) has said monsoon rains could be ‘normal’ this year and may bring 100 per cent rainfall instead of 96 per cent it had projected earlier. Notwithstanding the modest contribution of agriculture to the overall GDP, good monsoon augurs well for India’s macros and this will give enough leg room to the government to support growth in the economy. To note, a good monsoon outcome can raise agricultural output, and thus improve gross value added (GVA) growth. 

Recently, the International Monetary Fund (IMF) forecast India’s growth to rebound to 7.2 per cent in financial year 2017-18 and 7.7 per cent in 2018-19. 

There is anticipation that good monsoon rains this year would revive rural demand and give more room to the Reserve Bank of India to cut interest rates going forward, as monsoon rains influence RBI’s policy decision due to its impact on agri-inflation. RBI has raised its inflation estimate for 2017-18, expecting it average at 4.5 per cent in the first half and 5.0 per cent in the second half, which is higher than its target. The next bimonthly policy review of the Reserve Bank of India is due in June and RBI is expected to keep interest rates unchanged. 

The expectation of normal monsoon boosted sentiments among market participants, domestic investors in particular, and Nifty50 breached the psychological level as stocks of consumer goods, FMCG and agriculture dependent sectors rallied. The market was cheered as a normal monsoon can increase spending ability of the rural population, which is dependent on agriculture, which can in turn help earnings growth of FMCG, consumer durables, agri inputs, fertiliser and cement companies. 

Actually, the government’s demonetisation drive, which was announced on November 8, 2016, badly impacted these sectors. Among all, the FMCG sector witnessed a noticeable slowdown. 

However, the long-term outlook for these sectors is positive as earnings of the companies from these sectors have been encouraging so far. With a normal monsoon, earnings are expected to grow faster and that would in turn drive stock prices higher. Investors who have invested or would invest in stocks such as Dabur, HUL, Bajaj Corp, Meghmani Organics, PI Industries, UPL, Havells and Voltas are expect .. 

Source: economictimes.indiatimes.com

Get Sample Now

Which service(s) are you interested in?
 Export Data
 Import Data
 Exim Help

What is New?

Date: 17-04-2018
Notification No. 21/2018-Customs (ADD)
seeks to extend the levy of anti-dumping duty, imposed on imports of Soda Ash originating in or exported from Russia and Turkey under Notification No. 8/2013-Customs (ADD), dated the 18.04.2013 for a further period of one year (i.e. 16.04.2019) or till the conclusion of the sunset review investigations initiated by the Designated Authority vide initiation notification No.7/4/2018-DGAD dated the 16th April, 2018, whichever is earlier.

Date: 16-04-2018
DGFT Notification No.02/2015-2020
Incorporatoin of new HS Codes for laying down import policy for Kabuli Chana, Bengal gram and Others under Exim Code 0713 of Chapter 07 of ITC (HS), 2017, Schedule - I (Import Policy).

Date: 16-04-2018
DGFT Notification No.03/2015-2020
Amendment in import policy conditions under Exim Code 9022 of Chapter 90 of ITC (HS), 2017, Schedule - I (Import Policy).

Date: 13-04-2018
Notification No.32/2018-Customs (N.T.)
Tariff Notification in respect of Fixation of Tariff Value of Edible Oils, Brass Scrap, Poppy Seeds, Areca Nut, Gold and Sliver.

Date: 12-04-2018
A.P. (DIR Series) Circular No.23
Liberalised Remittance Scheme (LRS) for Resident Individuals – daily reporting of transactions

Date: 11-04-2018
Trade Notice No- 2/2018-19
Launch of facility to check status of Importer Exporter Code (IEC) application made to DGFT

Date: 10-04-2018
Notification No. 43/2018-Customs
seeks to increase tariff rate of basic customs duty (BCD) on tariff items covered under tariff sub head 0404 10 ie. Whey and modified Whey, whether or not concentrated or containing added sugar or other sweetening matter, and under tariff item 0404 90 00 ie. Other Whey from present 30% to 40% by invoking section 8A (1) of the Customs Tariff Act, 1975.

Date: 10-04-2018
Notification No. 44/2018-Customs
seeks to amend notification No. 50/2017 Customs dated 30.06.2017 so as to maintain effective rate of BCD on Whey, concentrated, evaporated or condensed, liquid or semi-solid (0404 10 10) and Other Whey (0404 90 00) at 30%.

Date: 10-04-2018
Notification No. 20/2018-Customs (ADD)
seeks to impose definitive anti dumping duty on imports fishnet or fishing nets originating from China or Bangladesh.

Date: 06-04-2018
Customs Instruction No. 8/2018
Clarification regarding classification of Solar Panel/Module equipped with element.

Exim Guru Copyright © 1999-2018 Exim Guru. All Rights Reserved.
The information presented on the site is believed to be accurate. However, InfodriveIndia takes no legal responsibilities for the validity of the information.
Please read our Terms of Use and Privacy Policy before you use this Export Import Data Directory.


C/o Infodrive India
E-2, 3rd Floor, Kalkaji Main Road
New Delhi - 110019, India
Phone : 011 - 40703001