India Agribusiness Report Q3 2018
We hold a positive view on the outlook for India's agribusiness sector, as the country will remain an agriculturalpowerhouse and should be able to maintain high levels of self-sufficiency for major food crops. Production growth of variouscommodities will be driven by strong government support and robust demand growth for manufactured foodstuff. We seesignificant growth opportunities in sub-sectors such as dairy, coffee and livestock. However, India will be increasingly vulnerable toexceptional weather phenomena and serious water shortages and the country's grain and sugar output will remain highly volatile.This, coupled with erratic government interventions, will often keep domestic supply tight, suggesting India will remain an unstableinternational provider of grains, sugar and milk powder.
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