Tomato growers make a killing

While prices crashed in May, it has doubled and, in some cases, increased four times since June

July 06, 2017 10:52 pm | Updated July 07, 2017 11:16 am IST - Kolar

A file photo of the APMC yard in Kolar district. According to an official, traders from Gujarat, Maharashtra and Andhra Pradesh are purchasing the product in Karnataka.

A file photo of the APMC yard in Kolar district. According to an official, traders from Gujarat, Maharashtra and Andhra Pradesh are purchasing the product in Karnataka.

In May, tomato cultivators in Kolar were dumping their crop by the roadside as prices had crashed to as low as ₹2 a kg in the Agricultural Produce Marketing Committee (APMC) yard. This month, however, the tide has turned. Rates have doubled and, in some cases, increased four times since June. Kolar district is one of the biggest producers of tomato in Karnataka.

The reason for this change in narrative is a massive loss of the crop in some of the major tomato growing States in the country.

“Huge damage to crops, particularly in Nashik in Maharashtra, is the main reason for increase in demand from Kolar. Plus, damage to crop due to diseases and pests in non-traditional areas such as Mandya has added to the scarcity,” said M.S. Raju, Deputy Director, Horticulture Department.

According to A. Vishwanath, an APMC official, traders from Gujarat, Maharashtra and Andhra Pradesh are purchasing the product in Karnataka. Another APMC source said that there has been interest even from Punjab. On June 4, a quintal was being sold at the APMC for a minimum of ₹314 and a maximum of ₹1,400 depending on quality and variety. On July 4, the price range was from ₹667 to ₹5,334 a quintal. On Wednesday morning, the average rate was around ₹5,000.

In the retail market, consumers were paying ₹10 per kg a month ago. Now, they have to shell out as much as ₹50.

Search for alternatives

A reduction in supply from other States and districts combined with the produce from Kolar being shipped out of Karnataka has led to a scarcity and a steep hike in prices in the local market.

This has led to experimenting with other local products. Restaurateurs, for instance, are using lemon powder while householders are opting for tamarind.

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