Kaveri Seeds recovers from intra-day lows

There is some relief for panic stricken farmers across India as government has now announced that old Rs 500 notes will be accepted at the government administered or public sector outlets. The current demonetisation has left farmers with no cash in the midst of the sowing season.

This comes as a huge relief for farmers as the liquidity crunch has started affecting the day to day life of farmers more acutely. The timely move by the government is seen as crucial and Kaveri seeds has reacted positively to the development.

Government has announced that farmers can now buy seeds from outlets run by central and state governments, public sector undertakings, national or seeds corporations, central and state agricultural universities and the Indian  Council of Agricultural Research (ICAR) , on production of identity.

This decision should bring some relief to the farmers as this facility is over and above the weekly withdrawal limit per person which stands at Rs 25,000 per week. 

Kaveri Seeds has recovered by more than 3 per cent from its intraday lows which it made at Rs 362 per share on Monday intraday basis.

The markets are trading weak on Monday with Sensex down by more than 1 per cent or 334 points at 25815 levels.