As if the scorching heat wasn’t enough, get ready for inflated tomato prices

The heatwave is troubling almost all parts of India, but if that wasn’t enough, reports have come that suggest that the rising temperature would now contribute in inflating the vegetable prices. Traders have expected vegetable prices to remain unpredictable, since the scorching heat would most likely affect consumer inflation.

Food articles prices have a 14% cent weight in the wholesale price index, and rose 4.23% last month. Vegetable prices, on the other hand, rose 2.21%, says data from Central Statistics Office.

The trend of inflating prices would reverse only when monsoon strikes next month, and until and unless that is delayed, there is nothing major to worry about, say experts.

"Severe heatwave condition across most parts of India has led to dropping of flowers and fruits, thereby impacting production and increasing prices," said Shriram Gadhave, president of the All India Vegetable Growers Association in Pune. He added that prices were firm and will continue to rise over the next few days.

"Tomato currently being sold at Rs 20 a kg in wholesale will touch Rs 50-60 a kg in the next few days," he said.

Rajender Sharma, former chairman of the Azadpur Agricultural Produce Marketing Committee in Delhi, told ET that vegetables supplies from outside the state have been slow since last 15 days, because of which wholesale prices have jumped 50-100% on some days.

"In retail, prices will be 3-4 times higher. In hot weather, losses to the vendor are higher and hence he will keep prices firm," said Sharma.

Ladies finger, which was available for Rs 13-23 a kg in Delhi's wholesale markets is being sold Rs 60-70 a kg to the consumers. In Pune, similarly, tomato wholesale prices were Rs 20 a kg, but when coming down to the retail rates, they have touched Rs 35-40 for a kg.

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