Normal monsoon to bring cheer for agri input companies in September quarter

Consumption of agro-chemicals in the domestic market remained muted during Q4FY18, which was a seasonally weak quarter

The financial performance of agricultural input companies is likely to improve substantially during the first half of financial year 2019 (FY19) due to rising demand to fill pipeline inventory on the back of the forecast of a normal monsoon this season.
 

Sales and profits of agri input companies were under tremendous pressure during the January–March 2018 quarter (Q4FY18) due to a sharp increase in the prices of raw material and weak lean season demand. Companies like Dhanuka Agritech, PI Industries, and Rallies India posted a decline in their sales and profits during Q4FY18. United Phosphorus reported a 35 per cent