New Delhi, Nov 28, : , The prices of staple vegetable tomato will likely remain elevated for at least two more months, CRISIL stated. 10% of India’s total vegetable production is accounted for by tomatoes.
The rating agency stated that “with standing crops damaged by excessive rains in Karnataka and Andhra Pradesh, which are key suppliers for tomato during October-December,” supply is down materially.
Ground surveys show that the situation in Karnataka is so dire that tomatoes are being sent to Maharashtra’s Nashik.
“It is not surprising that the prices of tomatoes rose by 142 percent year-over-year as of November 25, and they will continue to rise for the next 45-50 day until the harvest from Madhya Pradesh or Rajasthan reaches markets across the country in January.”
It also stated that prices for onion will drop in the next 10-15 day when freshly harvested produce reaches northern India’s markets.
“Duet rains in August caused delays in transplanting in key areas of Maharashtra.According to the agency, this delayed arrival in October led to a 66% increase in onion prices in comparison with September.
The agency stated that potato prices will rise as heavy rains could affect sowing and yield.
The three main vegetables consumed in the country are potato, onion, and tomato.
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