NEW DELHI (Commodity Online): India’s wheat production is expected to touch a record level in this Kharif season with a 15% rise in acreage due to the late revival of monsoon while rice output is likely to fall by 7% to 8% in this season.

Indian government has set a record target of 84 million tonnes of wheat during 2009-10 season as against the bumper production of 80.58 million tonnes of wheat in 2008-09 season from the roughly 27.5 million hectares under wheat cultivation.

Talking to Dow Jones Newswires, India’s Agriculture Minister Sharad Pawar expressed the hope of improvement of soil moisture, which would help the cultivation of wheat, rice, pulses and sugar cane thanks to the plentiful rains from mid-August.

Besides, the government has raised the minimum support price for wheat to encourage farmers to grow more wheat this year, Pawar said.

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Meanwhile, country’s rice output is likely to dip by 7% to 8% on year to 91 million to 92 million metric tonnes in the fiscal year ending March 2010 as against 99.15 million tonnes produced last year due to scanty rains in the some parts of the country, Pawar said.

According the India Meteorological Department, average rainfall so far in the June-September monsoon season has been 21% below a 50-year average, leading to severe droughts in some parts of the country.

However, a late revival in monsoon rains could help limit the damage, although not entirely, Pawar said.