Sharp spike in agro commodities over tepid farm output, high import prices

Threat of poor weather conditions looms. Cold wave and pest attack could damage standing Rabi crops and elevate prices across the board in 2020

Most major commodities have been rallying for the past six weeks, largely on lower-than-expected production or higher import prices, as seen in the case of edible oil. Experts say farm prices in India are expected to remain firm. 

Crude palm oil, which is largely imported, has risen over 50 per cent in six months. The rally in the price of the commodity that followed Malaysia's opposition to India’s actions in Kashmir, tightened supply in the internataional market, causing a sharp surge in India's import bill. A spike in the demand for palm oil, which is used for ethanol blending, has