Vegetable growers, who carry their produce to the nearest market almost every day, are facing significant losses, with the demonetisation of Rs. 500 and Rs. 1,000 notes hitting cash flow. Many tomato growers have left their yield to rot in their farms as they are not sure of getting back even a portion of their investment. And many of those who do go to the market carrying vegetables return without recovering even the transportation cost.
Mithun of Hosahalli in Salagame hobli, Hassan, has grown tomatoes on 17 guntas of land owned by his father, Shivappa. He stopped marketing the harvest when the price of tomato went below Rs. 30 for a 15-kg bag. “I have left the tomato plants in the field unattended to and have also let cattle into the farm. What else can I do when I am not sure of getting back even what I spent on harvesting?” he asked.
Tomato growers require at least six workers to harvest 100 packs (each of 15 kg) a day. The payment to the workers comes up to around Rs. 1,500. “If my product is sold at Rs. 20 or 30 a pack, I will not be left with any cash. After deducting 10 per cent commission for middleman and the transportation cost of Rs. 500, I will have nothing left,” he said.
Tomato growers expect at least Rs. 100 a bag, considering their investment. Last month, they were earning up to Rs. 150 a bag.
But now, merchants in the market do not have cash in hand. They are not purchasing vegetables in the amounts they did earlier and are also offering lower prices. Meanwhile, farmers are forced to sell their produce at the rates offered as they cannot take the vegetables back.
Ganesh of Narasipura grows many vegetables, including tomato, beans, ridge gourd and capsicum. On at least three days a week, he carries vegetables to the market in Hassan. “A kilogram of beans was sold for Rs. 25 last month. Now, it has come down to Rs. 8,” he said.
He says his income is down by Rs. 25,000 a week. “We are forced to sell the vegetables at the price offered by the merchant, as we can’t bring the stock back to our village,” he said.