Vegetable growers may reap bumper returns this summer, while consumers may have to shell out more due to increasing demand for vegetables in the three southern states of Karnataka, Tamil Nadu and Kerala. The reason: price volatility in the vegetable mandis of the three states is inter-connected.
For instance, though Tamil Nadu produces excess vegetables (around 62 lakh tonne per annum) than the state?s demand nearly 70% of Kerala’s demand is met by Tamil Nadu leading to a supply crunch in the state. On the other hand, Karnataka supplies vegetables to Kerala and also meets some of Tamil Nadu?s demands. So, any volatility in the prices in Karnataka affects the Kerala and Tamil Nadu markets.
A recent report by the Domestic and Export Market Intelligence Cell (DEMI) of the Tamil Nadu Agricultural University (TNAU) highlighted these findings and pointed out what farmers should cultivate to reap better rewards this summer. The data compiled by DEMI project coordinator N Raveendran and senior research fellow S Anitha showed that the prices of tomatoes increase during April-June period as the arrivals in Tamil Nadu happens during August to February, while in Karnataka it is from March to July.