Staples prices rise in Maharashtra due to scanty rainfall impacting supply chain

Maharashtra is bracing for a potential shortage of essential kitchen staples, such as sugar, fruits, vegetables, onions, and pulses, as drought-like conditions persist in the state. This scarcity is likely to lead to a surge in prices, posing the risk of inflation. Maharashtra holds considerable significance in the production of these agricultural products, making it a major contributor. The state’s reservoir levels currently stand 20 percent lower than the same period last year due to sporadic rainfall. The ongoing drought conditions are expected to result in a decline in Rabi season onion cultivation due to water shortages. Already, tur and sugar production are anticipated to decrease, with indications of reduced output in the cultivation of wheat and chana.
Mukhesh Jaybhaye, a seeds dealer in Nimon, Sangamner, noted, “It is for the first time in the last six-seven years that I had to return nearly 50 percent of the onion seeds of most brands to the companies.” He added, “Lack of enough water has forced farmers to reduce the area planted under onions.”
The India Meteorological Department (IMD) reported that while overall rainfall in Maharashtra during the monsoon was typical, several regions, including Marathwada, Madhya Maharashtra, and North Maharashtra, experienced deficient rainfall. Additionally, rainfall has fallen into the “large deficit” category during the rabi season, spanning from October 1 to November 15.
Reduced onion cultivation may have repercussions on supply in the coming year. Onion prices are already soaring, with retail inflation for the kitchen staple exceeding 42 percent in October. The consumer food price index witnessed a 6.6 percent month-on-month (MoM) increase compared to the previous year.
Rahul Jadhav, proprietor of Rahi Natural Seeds in Satara, remarked, “The farmers who used to plant onions on five acres have reduced the area to just about two acres due to the shortage of water.” Some farmers who sowed onion nurseries anticipating rain during the Diwali period are now actively seeking buyers for the saplings.