Ground report: Sky rocketing vegetable prices forcing Mumbai’s consumers to cut down purchases

The price rise is not restricted to tomatoes. The cost of a kilogramme of ginger has more than doubled to about Rs 200 , capsicum has jumped to Rs 70-100 per kg, green peas are costlier by 50-60 percent and prices of other vegetables like chillies, cabbage, ladies finger and cauliflower have also doubled.

Traders say, as a result of higher prices, those who come to buy in wholesale are buying lower quantities. Prakash Shete says customers who used to buy 10 crates of tomatoes are now buying only 2 because sales on their end have also been hit.

Traders say, the current scenario is starkly different to a few months ago, when farmers and traders were having to throw away or destroy massive quantities of their produce because they weren’t getting a decent price, especially due to quality issues. As a result, farmers have been hit hard for the past 7-8 months.

A few kilometres away from the APMC market, the mood is no different at Vashi’s retail markets. Consumers are complaining of higher prices. Several consumers were seen asking vegetable sellers when these prices are likely to come down, while trying to negotiate for a decent price.

One customer at the Vashi vegetable market said that his monthly expenses have shot up by 50-60 percent. “These prices are forcing us to purchase lesser quantity because we have to manage within a stipulated budget for food. This month we have other expenses as well like education, school fees, books etc,” says Ranga Rao Patil. He also says that prices of dal, atta, rice, etc have become 10-15 percent more expensive.

The situation is very similar for another consumer Seema as well. She said that rising prices of vegetables and fruits but not a corresponding increase in income is impacting her monthly budget. “We have lesser savings of course and I have to factor in how much do I take home. Normally when I used to buy vegetables and fruits, I would be a little more generous and stock in but with rising prices, I am being very conservative in terms of the quantities I am buying. It is really tight on the pocket,” she added.

But higher prices are not translating to better sales for vegetable sellers in the retail markets. This is because consumers have sharply reduced the quantity they buy. According to Shobha, a vegetable retailer in Worli, customers have been complaining about costly prices. “A person who would buy 250gms is now buying 100gm or 50gm. It is a loss for me. I incurred a loss of Rs 5,000 yesterday. People don't want to buy, and the supply we take to the market doesn’t get sold, resulting in a loss for us,” she added.

But why are prices so high? While a slight increase in prices every monsoon season is common, this year, the price rise has been brutal. Production has been hit by a combination of factors – first a heatwave, followed by unseasonal rains, then a delayed monsoon and in a few regions, when it did rain, it poured. This erratic weather has resulted in lower yield and poor quality – leading to a shortage in supply.

Vegetable traders say it will take at least another two months before the supply of vegetables is restored, which will then help bring down prices. But that too, they say, will be contingent to how monsoons pan out for the rest of the season. Given the losses farmers have had to face in the past couple of months, they say, they are wary of fresh cultivation. But taking into account a new round of cultivation of vegetables, that produce will hit the market only by September. Until then, prices of vegetables will continue to pinch.