Subscribe to the BlogIndia has over 1.1 billion people and it needs to produce tons and tons of rice, wheat, sugar and pulses in order to feed the population. And while there has been economic prosperity in the country in the last five years, it has only lead to more demand for food.
The country produces over 60% of the food items during the annual monsoon season, which has been near normal in the last decade. And it is playing joker this time around and the country is expecting a major drop in food production this year.
It is already facing a huge sugar shortfall and has turned into a net importer of the sweet commodity, from being an exporter for the last few years. That has already pushed up the global sugar prices to multi year high, and analysts are expecting the sugar prices to remain at record high level for the next few months.