However, during the ongoing second wave, the highly infectious mutated strain of the virus has already spread to rural India. “Such a high rate of positivity is being recorded even when the level of testing is low in rural India. India Ratings said even if agricultural output and income remain intact, there is a strong likelihood that the expenditure pattern of rural households will be muted. The second factor that will hurt rural demand is the decline in non-agricultural activities, as most of them require high human contact. The third factor, according to the agency that will impact rural expenditure unfavourably in FY22, is rural wages.

Source: Hindustan Times May 28, 2021 01:27 UTC