Govt reduces rate of tomato to Rs 80/kg with immediate effect in Delhi-NCR

Prices start declining in wholesale markets across some cities

The Centre has decided to further lower the rates at which it will retail tomatoes — from Rs 90 per kg to Rs 80 per kg — to provide a fillip to consumer sentiment.

On Friday, the Centre started selling tomatoes at a discounted rate of Rs 90 per kg in Delhi-NCR through mobile vans. More cities were added on Saturday.

There has been some dip in the wholesale price of tomatoes in some cities ever since the Centre started retailing tomatoes through its outlets (see chart).

“There has been a decrease in the wholesale prices of tomatoes due to the government intervention to sell it at a concessional rate of Rs 90 per kg at several locations,” an official statement said.

“After a re-assessment of the situation from across 500 plus points in the country, it has been decided to sell it at Rs 80 per kg from Sunday,” it added.

Sales started at several points on Sunday in Delhi, Noida, Lucknow, Kanpur, Varanasi, Patna, Muzaffarpur and Arrah through cooperatives National Agricultural Cooperative Marketing Federation of India (NAFED) and National Cooperative Consumers’ Federation of India (NCCF), the statement said.

Sale of tomatoes at a discounted price will be expanded to more cities from Monday, depending upon the prevailing market rates at such locations.

“The Government of India is committed to provide relief to consumers,” the statement said.

The NCCF and NAFED are selling tomatoes on behalf of the Centre through mobile vans.

Prices of tomatoes in the retail market remain at an elevated level of Rs 250 per kg across major cities due to the rains and lean season. The all-India average price stood at nearly Rs 117 per kg on Saturday, according to the government.

According to data compiled by the Department of Consumer Affairs, the average all-India retail price of tomatoes was ruling at Rs 116.86 per kg on Saturday. The maximum rate was Rs 250 per kg and the minimum was Rs 25 per kg. Modal price of tomatoes was Rs 100 per kg.

Among the metros, tomatoes were ruling at Rs 178 per kg in Delhi, followed by Rs 150 per kg in Mumbai, and Rs 132 per kg in Chennai. The maximum price of Rs 250 per kg was in Hapur.

Tomato prices normally shoot up during July-August and October-November, which are generally lean production months. Supply disruption due to the rains has led to a sharp rise in the rates.

Speaking to PTI, NCCF managing director Anice Joseph Chandra said tomatoes are being procured from Madanapalli (Andhra Pradesh), Kolar (Karnataka) and Sanganeri (Maharashtra).

NCCF has already sold 35,000 kg of tomatoes in the last two days. It expects to sell 20,000 kg in Delhi-NCR on Sunday, 15,000 kg in Varanasi and 10,000 kg each in Lucknow and Kanpur, Chandra said.

NCCF sold about 7,000 kg in Lucknow on Saturday and this itself helped bring down the wholesale rate from Rs 130 per kg Rs 115, she noted.

Chandra added, “Further reduction in the price to Rs 80 per kg will cool down the rates in the coming days. We will continue to intervene till the price stabilises.”