Cost of veg thali rises to 8-month high of ₹29.1 in August, says Crisil

Crisil said veg thali cost rose to an eight-month high of Rs 29.1 in August due to high tomato prices, while both veg and non-veg thali costs were lower year-on-year

Tomatoes last month drove the representative price of a home-cooked vegetarian thali to an eight-month high of ₹29.1, which was 3.56 per cent more than what it was in July. However, on a year-on-year (Y-o-Y) basis, the representative cost of a vegetarian thali dropped by 7 per cent, credit-rating agency Crisil said in its latest edition of the Roti Rice Rate report.

 

In July, the representative price of the vegetarian thali was ₹28.1.

 

On the other hand, in August broiler chickens pushed up the representative price of a non-vegetarian thali to ₹54.6, which was 2.05 per cent more than July’s price of ₹53.5 as the conclusion of the Shravan month increased demand for non-vegetarian items. But the adequate supply of chickens kept the prices in check.

 

However, when compared to the thali prices prevailing in August 2024, the cost of a non- vegetarian thali declined by approximately 8 per cent. The cost of broiler, which accounts for 50 per cent of the cost of non-veg thali in August, fell 10 per cent (Y-o-Y).

 

“Tomato prices surged 26 per cent in (August), driven by a 35 per cent decline in arrivals, thus pushing the cost

of (veg) thali. Meanwhile, potato and onion prices remained stable as stored stocks were released. The rise in the cost of non-veg thali was capped as oversupply of broilers kept their prices stable despite a rise in demand with the conclusion of Shravan month,” the report noted.

 

The rating agency calculates the average cost of preparing a thali at home based on the input prices prevailing in north, south, east and west of India. The monthly change reflects the impact on the common man’s expenditure. The data also reveals the ingredients (cereals, pulses, broilers, vegetables, spices, edible oil and cooking gas) driving the change in the cost of the thali.

 

“The year-on-year decline in the cost of veg thali was led by a sharp drop in prices of onion (31 per cent), potato (37 per cent) and pulses. In August 2024, the potato production had shrunk 5-7 per cent due to blight infestation, pushing up the prices. This year, the production is estimated to be 3-5 per cent higher, with onion also seeing a production rise of 18-20 per cent. Pulses prices declined y-o-y due to higher production and stock levels,” the report said.

 

The report further noted that vegetable oil prices surged 24 per cent (Y-o-Y) in August due to higher demand at the start of the festive season. Additionally, the cost of cooking gas has risen 6 per cent (Y-o-Y) during the same month.

 

Pushan Sharma, director-research at Crisil Intelligence, said that going ahead, thali prices are likely to remain lower Year-on-Year, aided by the high base of vegetables and pulses, with the government’s decision to allow free imports of yellow pea and black gram expected to exert downward pressure on pulse prices.