Skyrocketing vegetable prices devastate general public in South India as monthly expenses soar

In the span of one month, prices of tomato, chilli, radish, beans, beetroot, and brinjal have risen manifold across the five southern states.

Published Jun 28, 2023 | 2:31 AMUpdated Jun 28, 2023 | 2:33 AM

The price of tomatoes has breached ₹100 per kg in most of the states in Southern India. (South First)

Owing to deficient rainfall and poor supply of vegetables to mandis (wholesale markets), the retail prices of most vegetables — especially tomatoes — have shot up from ₹20-60 to ₹80-125 in Karnataka, Telangana, Tamil Nadu, and Kerala.

The surging prices of most vegetables have shocked people, as they now need to shell out more for basic necessities.

This is seriously denting their monthly household budgets.

Middle and lower-class concerns

“The price of vegetables has skyrocketed in the last one or two days. Instead of buying 2-3 kg of tomatoes, I am buying only 1 kg this week due to the high prices,” Rangaswamy, a daily-wage labourer from Bengaluru’s Chamarajapete, told South First.

“The budget for monthly expenses has doubled in June. It is not only the price of veggies but also the hike in power tariff that has worsened life this month. If the prices continue to rise, it will be difficult for the middle class and the poor to run their house,” said Rangaswamy, expressing disappointment.

In a span of one month, the price of tomatoes has surged a whopping five-fold in Karnataka. In Kerala and Telangana, the price of tomatoes has doubled in the last few days.

Tomatoes priced at ₹100 per kg on Tuesday were being sold at ₹50 a few days ago. It is only in Tamil Nadu that tomatoes are being sold below ₹100 per kg.

Even the prices of chillies, radish, beans, beetroot, and brinjal have doubled in the last few days. However, the price of onion is hovering around ₹20-30.

It is not only in the retail market: The prices of most vegetables have surged on ecommerce websites and apps as well.

However, they are offering the vegetables at a cost that is about ₹5 lower than in the retail market.

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Reasons for price rise

Farmers and traders are pointing to a range of factors that are contributing to the surge in vegetable prices.

The major factors are a significant rain deficit, diminished supply, escalating demand, festivals, and a decline in overall production.

Tomato trader Puttaraju, based in Kolar in Karnataka, told South First: “It is common in this season every year to see a price hike of tomatoes. It is because of the festival season (Bakrid is on 29 June), high demand, and poor supply. The wholesale price of tomatoes stands at ₹60-80 per kg in mandis.”

He added: “The tomatoes grown in Karnataka are being transported largely to Odisha, West Bengal, Rajasthan, Madhya Pradesh, and other states because of high demand. Pakistan and Bangladesh are getting them, too.”

Kolar is the second-largest producer of tomatoes in India — after the Chittoor district in Andhra Pradesh. The crop is cultivated on over 10,000 acres, and around 5 lakh tonnes are produced every year.

“We received good rains in the pre-monsoon season for the last three years. But it has been dry this year. The rain deficit of rain has severely affected the crops this season, reducing the yield,” Srinivasgowda, a farmer, told South First.

Also read: Severe rainfall deficit hits Karnataka, farmers struggle

Others affected

Retailers said that the surge in vegetable prices had affected their business as well.

“I used to sell around 50-80 kg of tomatoes every day. Ever since the price of tomatoes and chillies breached ₹100, people are buying them in lower quantities. Apart from this, the profit margin is also low,” vegetable vendor Shashikala from Chamarajapete told South First.

P Ramanna, a vegetable retailer from Hyderabad,  told South First on Tuesday, 27 June, “These days, the profit has reduced all of a sudden.”

He explained: “For example, I bought 23 kg of tomato today for ₹1,800 from the Moosapet wholesale market, of which 3 kg were rotten (usual case). So, if you calculate the profit, it is only ₹200 for 20 kg.”

He continued, “This was not the case even yesterday, when I bought 23 kg for ₹1,600. At the beginning of month, I was buying 23 kg of tomatoes for ₹600-800.”

General public hit hard

As vegetable prices have skyrocketed, households are now grappling with the burden of increased costs of essential groceries and other daily needs.

The surge in monthly expenses is putting a strain on already-tight budgets, making it increasingly challenging for individuals and families to make ends meet.

The price hike is forcing consumers to either lessen the quantity purchased or compromise on quality.

“It was hard to buy tomatoes when it was ₹60 per kg. Buying it is out of the question now,” Kochi-based Gowri Kumar told South First.

“We like to make spicy food. But now, even the price of green chilly has also doubled. It’s personally very hard for me to manage. I live alone and live off my pension,” he rued.

Sheikh Javed Ali, a resident of Hyderabad who was at Ramanna’s shop to buy tomatoes and carrots, suddenly changed his plan and did not buy them.

“I have returned to Hyderabad after 15 days. I thought tomatoes and carrots would be ₹50-60 per kg,” Sheikh said, shocked after hearing the prices.

He added, “This is why people are more attracted towards online apps to buy their groceries, as they offer discounts and, sometimes, even free delivery.”

Mangala, a resident of Bengaluru, has started using tamarind as an alternative to tomatoes following the price hike.

“We cannot afford vegetables at this price. I am using alternatives like tamarind instead of tomatoes and chilly powder instead of green chilly. Even poor-quality tomatoes are priced as high as ₹70-80 per kg,” said Mangala, whose husband is an autorickshaw driver.

Also read: Karnataka to postpone Anna Bhagya as Centre denies rice supply

TN to sell veggies at wholesale price

As a measure to rein in the rising prices of vegetables, the Tamil Nadu government on Tuesday announced that it would sell vegetables — including tomatoes and shallots, both staples in sambar and other traditional Tamil dishes — at wholesale price at government-run “Pasumai Pannai” outlets.

The selling cost of tomatoes and shallots shot up as there was a dip in harvest across Tamil Nadu.

Tomatoes are being sold for ₹80-85 in the Koyambedu market and the districts around Chennai.

In interior Tamil Nadu — in the regions around Coimbatore and Madurai — a single kg of tomato is being sold for ₹70-80.

Shallots are being sold for ₹80 per kg in retail stores in Chennai and ₹65-75 in other places.

In Chennai’s Koyambedu market, ginger is being sold for ₹240 per kg and drumstick is sold for ₹60 per kg. Carrot is sold for ₹50 per kg, beans for ₹80 per kg, and bitter gourd for ₹60 per kg.

Traders from the Oddanchatram vegetable market, where the vegetables arrive from throughout the state, said that they expect the prices to stabilise after the first week of July, when the arrival of fresh produce is likely to improve the situation.

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