Drop in the prices of vegetables and grains

Fluctuations in Tomato Prices

Vegetable prices across several states in India are currently stable, as monitored by the Centre for Monitoring Indian Economy (CMIE). According to CMIE, this year’s favorable monsoon and successful sowing during the Kharif season have created conditions for potential price reductions, provided that crop harvesting occurs on time. The report indicates that the prices of common vegetables remain steady, with notable decreases observed in tomato and potato prices over the past few days. Additionally, an increase in the supply of potatoes, rice, and pulses such as tur has contributed to a downward trend in their prices, reflecting a continuous decrease in market rates.

Fluctuations in Tomato Prices:

CMIE’s data reveals that at the beginning of June, the average price of tomatoes across the country ranged between ₹32 and ₹35 per kilogram. By the end of July, this price had surged to ₹71 per kilogram. However, due to increased arrivals in the markets, the price dropped to ₹48 per kilogram by August 24. This decline highlights the impact of improved supply on stabilizing market prices.

Onion Prices and Future Prospects:

While onion prices have remained high, no significant increase is expected in the upcoming weeks. From February to May, onion prices ranged between ₹31 and ₹33 per kilogram, rising to ₹46 per kilogram by August 24. Media reports suggest that this price surge could be attributed to hoarding by traders. However, the Ministry of Consumer Affairs, Food, and Public Distribution has assured that the estimated 191 lakh tonnes of Rabi 2024 production will be sufficient to meet domestic demand. The ministry’s secretary also stated that the government is prepared to sell approximately 5 lakh tonnes of onions if necessary. Additionally, the ministry expects a 27% increase in onion acreage during this Kharif season.

 

(Price fluctuations in percentage. Source: CMIE)