Fresh arrivals in mandis may lower tomato prices, keep onion in check

Written by Sandip Das | New Delhi | Updated: Jul 9 2013, 19:41pm hrs
Consumers feeling the pinch of skyrocketing vegetable prices, particularly those of tomato, are likely to get relief in the next two weeks.

An official with Agricultural Produce Market Committee (APMC) of Azadpur, the countrys biggest fruit and vegetables market, said that against a daily arrival of 25 trucks (each having 15-tonne capacity) at the mandi, there were only 5-7 trucks arrivals since June 16, when cloudbursts destroyed crops and damaged roads in Uttarakhand and HP.

Supply constraints have resulted in tomatos retail price jumping to R80 per kg in many places in Delhi and northern India, from R20 a kg in early June. The number of truck arrivals has increased during the last few days and prices are expected to decline during the next two weeks, Rajinder Sharma, chairman, APMC, Azadpur, told FE.

Besides, the early arrival of monsoon and excess rainfall in northern India also disrupted tomato-picking operations.Similarly, onion prices have increased during the last few weeks on fears of a decline in kharif production. However traders from Nasik said that wholesale onion prices have been in the range of R1,500-1,600 per quintal for the last one month.

There is enough stock to meet demand for the next two months, after which the kharif crop is set to enter the market (by September), CB Holkar, board member, Nafed and a farm leader from Nasik said.