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Tomato prices shoot, lack of perspective planning - Dilip Chaware

Seasonal spurts in the prices of tomato and onion happen, based on the yield in Maharashtra in that time cycle. Main horticultural crops of farmers in Maharashtra also include grape, pomegranate and, of course, sugarcane. Of them, tomato is harvested thrice every year. Maharashtra’s Nashik, Pune, Satara, Ahmednagar, Nagpur and Sangli districts have the highest tomato yield. According to official statistics, the area under tomato cultivation in Maharashtra is about 30,000  hectares.

 

Like onion, tomato is mostly grown in hot weather. Being a tropical crop, it is grown round the year in Maharashtra as its climate is suitable for it. However, sudden increases in temperature or unseasonal rains hit the growth of tomato plants. Temperature ups and downs have a harmful effect on the fruiting process. Tomato production is satisfactory when temperatures are between 13 and 38 degree Celsius. Suitable soil, which is of medium to heavy variety, boosts tomato cultivation. It, however, needs a high supply of organic manure and controlled watering.

As and when vagaries of nature affect agriculture in India, the first impact is felt in the prices of onion and tomato since most households in the country use either or both in their daily diet. As soon as prices begin rising, mostly due to adverse weather, various reactions start dominating the regular and social media since all are victims of the price rise.  

In fact, onion and tomato becoming costly is never a novelty in India. But it is said that the public memory is short. Hence, any abrupt price increase, caused by a delayed monsoon or heavy downpour, is criticized and the government comes out with identical promises. It is well known that tomato becomes expensive in June-July period, the lean production months. Consumers grumble but there is no mass reaction like the one witnessed now. True, the impact this year has been manifold and such occurrences will continue to happen unless an effective storage and processing facility is established.

 

The international media gleefully highlighted New Delhi McDonald’s notice, admitting  the temporary unavailability of tomato. “Despite our best efforts, we are not able to get adequate quantities of tomatoes that pass quality checks,” the notice said. In other places, photo-shopped pictures of bouncers guarding tomato stocks surfaced. Though an exaggeration, it reflected the grim reality.

 

The retail price of tomato in major cities like Mumbai, New Delhi, Kolkata or Chennai had exceeded Rs. 120 rupees per  kilogram. The same was Rs.20 or thereabout in 2023 January.   This is compared with petrol prices, which was selling at  RS. 96 a liter in the capital.

 

Tomato prices usually rise during the June-July and then  October-November time cycles. This is because of the lower production seasons in major growing states. Government officials rationalize this every year, calling it seasonality in commodity prices. They assure the consumers that the prices will start reducing after harvesting begins from August. Which means, the new crop will be available only in November.

 

Household budgets in India are governed by tomato, onion and potato, along with edible oil and wheat or rice prices. Any major change in their prices proves to be the major factor in retail inflation across the country, according to a Reserve Bank of India report. It  has pointed out that spurts in prices of  vegetables could generally be high due to their perishability, vulnerability to weather-related disturbances and a rigid demand situation. Besides Maharashtra, some states in southern and western India account for almost 60 percent of the country’s total tomato production. Their surplus crop is sent to other markets.

 

The Union and state governments claim that they are searching  for long-term solutions when the answer is obvious and available. Developing cost-effective technologies to produce, process and procure perishables is not rocket science, as proved by several smaller countries. However, in India, few concrete steps have been taken. Rather, political bosses find it more rewarding to dole out financial assistance so that the farmers feel obliged and consumers are happy since tomato is  available at reasonable prices.

 

The reason for present jump in prices is attributed to their sudden crash in April-May in Maharashtra, when tomato had no takers even at Rs.5 per kilogram. Due to this situation, many growers were compelled to abandon their crops. The unusually intense heat of March-April also resulted in pests attacking the crop growth. took a toll on production. Tomato’s rabi season crop is grown mainly in Pune district, in parts of Karnataka and Andhra Pradesh. The yield comes to markets between March and August. As the monsoon is fading, the market is supplied by the kharif crop in Uttar Pradesh, Nashik in north Maharashtra and some other centres in the country.

 

Tomato saplings are sown in December-January or in February-March time cycles. The first cycle provides supplies that last until April. The second cycle caters to the market till August. The crop generally is ready in 100 days and picking continues for 45 days. Farmers plan their crops usually in such a way that they have stocks ready to last up to August. Their main income depends upon the rabi yield as it ensures higher returns. The cost of production of rabi tomato is over Rs.10 per kilogram  while it is less than Rs.10 in kharif seasons. The cost of production is higher, when pests infect the crop or water becomes costly to supply after a heat wave or a dry rain spell.

 

In March-April this year, the wholesale average price was Rs 5-10 per kilogram, which rose to Rs 5-10 but crashed again. In May, prices fell between Rs. 2.50 -5 per kilogram.

 

The crash in prices was so devastating that the farmers who were planning to plant a second crop in March did not. The present steep price rise is the outcome result of this dual calamity.

 

One reason for the major price decline in March-April-May was that the crop coming to the market was of inferior quality. Moreover, the farmers panicked and desperate selling began. Faced with uncertainty on both the fronts, prices and supplies, farmers rushed their stocks without caring for the situation. This has caused the present glut. Market watchers and growers don’t foresee any chances of prices coming down anytime soon. The next crop will be during the kharif season. It will be only after August that new arrivals will occur and retail prices can become affordable.

 

Maharashtra Monitor had only a few weeks ago highlighted the export of tomato from Marathwada to neighbouring Telangana. Had there been adequate processing and marketing arrangements, the farmers could have been saved a distress situation like the present. One can only hope that effective steps will be taken by the authorities soon.

A Column By
Dilip Chaware – Senior Editor 
A media professional for 43 years, with extensive experience of writing on

a variety of subjects; he is also a documentary producer and book author.