Tomato Prices See Over 22% Decline In Just One Month: Centre

Tomato prices have dropped by over 22% within a month due to improved supply, as stated by the Department of Consumer Affairs on Sunday.

On November 14, the nationwide average retail price for tomatoes stood at ₹52.35 per kg, a significant decrease from ₹67.50 per kg recorded on October 14. In Delhi’s Azadpur mandi, prices saw a steep decline of nearly 50%, falling from ₹5,883 to ₹2,969 per quintal, driven by increased arrivals. Similar trends were observed in key markets such as Pimpalgaon, Madanapalle, and Kolar.

The Department of Agriculture projects tomato production at 213.20 lakh tonnes for 2023-24, reflecting a 4% rise compared to 204.25 lakh tonnes in 2022-23. Despite year-round cultivation, production levels fluctuate due to seasonal cycles.

What caused the price drop?

Tomato prices surged in October following extended rainfall in Andhra Pradesh and Karnataka, which disrupted crop quality and transportation. October and November are crucial planting periods in major tomato-growing states. However, the supply has improved with arrivals from regions like Maharashtra, Madhya Pradesh, and Gujarat, aided by favorable weather conditions, stabilizing the tomato supply chain.

Also Read: Indore Faces Surge in Tomato Prices; Retail Rates Exceed Rs 120/kg

Prices remain high year-on-year

Although prices have eased recently, they remain elevated compared to last year, with a 161% increase year-on-year, according to an ICICI Bank report. While vegetable prices fell 4.1% month-on-month in November, staples like tomatoes, potatoes, and onions saw sharp annual price hikes of 161%, 65%, and 52%, respectively.

The report also noted that October saw vegetable prices reach a 57-month high, with a 42% year-on-year increase.