What is the impact of deficient rain on pulses prices and why
The deficient rain has affected the sowing of pulses, leading to a potential spiral in prices.
- Decline in sowing: Insufficient rainfall leads to a decrease in soil moisture, which hampers the sowing of pulses. This reduced supply of pulses puts upward pressure on prices.
- Lower yield: The lack of rainfall results in reduced crop productivity and lower yield. This restricts the overall availability of pulses in the market, causing prices to increase.
- Increased demand: Pulses are a staple food in many regions, and the demand remains relatively constant. However, with a decrease in supply due to deficient rain, the demand outweighs the available quantity, causing the prices to spike.
- Import dependence: In cases of severe deficiency in rainfall, countries become more reliant on importing pulses. Increased import costs and reliance on foreign markets can further contribute to higher prices domestically.
- Income disparities: Higher pulses prices disproportionately impact low-income households, as they rely heavily on affordable protein-rich foods like pulses. Food inflation resulting from deficient rain can pose a significant challenge for vulnerable sections of society.
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a year ago