4% agri-GDP growth likely in FY18, no major El Nino impact: SBI Ecoflash

Good monsoon will fuel rural demand, ease food inflation; only a third of El Niño years are drought

Serving as an impetus for the rural economy, the Indian Meteorological Department (IMD)'s prediction of normal monsoon for 2017 has led to expectations of agricultural gross domestic product (GDP) growth hovering around 3-4 per cent, according to State Bank of India’s Ecoflash report.

Even though the farm sector accounts for about 14-15 per cent of the total GDP and 10 per cent of the total exports, it gains significance as it is the single largest private sector employer, providing sustenance to around 58.4 per cent of country’s workforce. Therefore, a good monsoon would fuel rural demand and ease food