Shares of companies related to the agriculture sector shot up by up to 20 per cent today after the Finance Minister announced that agriculture credit is seen surpassing the earlier estimates for the current fiscal.
Aries Agro's scrip shot-up by 19.6 per cent, while Jain Irrigation Systems rose by 2.63 per cent on the BSE.
Shares of Monsanto India climbed 2.59 per cent and that of Advanta went up by 0.51 per cent.
Agriculture credit is likely to exceed the target of Rs 7,00,000 crore, while farm exports are expected to increase to over USD 45 billion in the current fiscal, Finance Minister P Chidambaram said today.
"We are proud of stellar performance of agriculture. ...Agriculture credit is likely to touch Rs 7,35,000 crore, exceeding the target of Rs 7,00,000 crore," he said while presenting the interim Budget for 2014-15 fiscal.
Chidambaram also stated that agricultural exports are likely to cross USD 45 billion this fiscal, as against USD 41 billion in 2012-13.
Chidambaram attributed the likely increase in farm growth this fiscal to estimated bumper production in various crops.