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Tomato prices may ease in coming weeks due to supplies from Andhra and Karnataka

The government is not reintroducing subsidized tomatoes as prices are expected to normalize within 102 weeks with supplies from Andhra Pradesh and Karnataka.

Updated on: Jul 13, 2024 07:55 PM IST
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Retail tomato price, which soared to 75 per kg in the national capital, is expected to cool in the coming weeks as supply improves from southern states, a government official said on Saturday.

Tomatoes rates have shot up by 100% at Chandigarh’s apni mandis, going from  ₹30 per kg on June 21 to  ₹60 per kg on July 3 (HT Photos)
Tomatoes rates have shot up by 100% at Chandigarh’s apni mandis, going from ₹30 per kg on June 21 to ₹60 per kg on July 3 (HT Photos)

The official, who spoke on condition of anonymity, said prices of potato and onion, which also spiked due to supply disruptions, are expected to stabilize soon.

Why did tomato prices increase?

"Prices of tomato, potato and onion are ruling high in Delhi and some other cities. Extreme heat followed by spells of excess rainfall disrupted supplies, causing a spike in prices in consuming areas," the consumer affairs ministry official told PTI.

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Tomato price in New Delhi has surged to 75 per kg, but is likely to ease if heavy rainfall does not further disrupt supply chains, he said.

The all-India average retail price of tomato stood at 65.21/kg on July 12, compared to 53.36/kg last year.

How and when will tomato prices stabilise?

Currently, Delhi is receiving tomato supplies from Himachal Pradesh and Uttarakhand. "Prices will start easing as hybrid tomatoes from Andhra Pradesh and Karnataka reach the national capital," the official said.

The government does not plan to reintroduce subsidized tomato sales, a measure implemented last year when the price exceeded 110 per kg. The official exuded confidence that prices would normalize within 1-2 weeks as supplies improve from Andhra Pradesh and Karnataka.

The official noted that India has 283 lakh tonne of stored potato, sufficient to meet domestic demand despite lower production compared to the previous year. Onion prices, which have eased in Maharashtra's wholesale markets, are expected to decline further with the arrival of the new crop in September.

Heavy rainfall has disrupted the supply of tomatoes, potatoes, onions, and green vegetables in key consuming areas, leading to price hikes across metros.

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In Delhi, retail potato price was 40/kg on July 12, up from 25/kg last year, while onion price increased to 57/kg from 33/kg.

The government remains optimistic about price stabilisation in the coming weeks, provided there is no further disruption due to adverse weather conditions.

This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.
 
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