Tomatoes' Record Prices Are Helping Farmers Create Windfall Profits: Report

On Tuesday, the average retail price of tomatoes across India was Rs 120.29 per kilogram. The highest price of tomatoes was Rs 237 per kg, observed in Hapur, while the lowest price was Rs 47 per kg

In other major cities, tomatoes were being sold at Rs 155 per kg in Mumbai, Rs 132 per kg in Chennai, and Rs 143 per kg in Kolkata. ( Image Source :Getty )

A meteoric surge in Tomato prices is helping farmers get rich through windfall gains, reported Bloomberg. Although this gain may be short-lived as supplies of this essential kitchen staple are rising, the report noted. On Sunday, the retail prices of tomatoes in Delhi were recorded at Rs 178 per kilogram, indicating a staggering increase of over 700 per cent since January 1, as per the data by compiled by the Department of Consumer Affairs. 

On Tuesday, the average retail price of tomatoes across India was Rs 120.29 per kilogram. The highest price of tomatoes was Rs 237 per kg, observed in Hapur, while the lowest retail price was Rs 47 per kg. The most frequently occurring price, known as the modal price, was Rs 120 per kg.

In other major cities, tomatoes were being sold at Rs 155 per kg in Mumbai, Rs 132 per kg in Chennai, and Rs 143 per kg in Kolkata.

The surge in tomato prices, attributed to supply disruptions caused by heavy rains, has caused concern among consumers, leading many households to temporarily forego tomatoes. However, tomato growers are getting some relief. 

Ishwar Gaykar and his wife Sonali, who grow tomatoes on a 12-acre (4.9-hectare) farm near Junnar in Maharashtra, have seen a remarkable increase in their profits, as the Bloomberg report. In the current season, they have made around Rs 24 million, compared to just Rs 1.5 million the previous year. The report also noted that the couple has emerged as one of the major tomato suppliers in the region, with local media outlets eager to interview him about their successful tomato farming venture. They manage their farms with the help of 60 to 70 daily workers. 

As per the report, they supplied about 350 tons of tomatoes in recent weeks, and expect to sell another 150 tons soon with the right weather conditions. 

Another farmer from Surat, Gujarat, as per the report, said, “I have never seen my produce getting this high a rate. Less than two months ago, farmers were literally forced to throw away tomatoes or feed the fruit-bearing plants to the cattle.” 

In the Delhi-NCR region, e-commerce giants like Amazon, Big Basket, and Otipy are offering tomatoes at prices ranging from Rs 170 to Rs 190 per kilogram. Another platform Blinkit is selling tomatoes at a slightly lower rate of Rs 138 per kg, as per a PTI report. 

On the other hand, the government is providing subsidised tomatoes to consumers in Delhi-NCR and certain other cities through the National Cooperative Consumers' Federation of India (NCCF) and the National Agricultural Cooperative Marketing Federation of India (NAFED) at a reduced rate of Rs 80 per kg.