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Flood, other factors pushed up veggie prices last month

Imbalance in demand-supply chain leads to rise in cowpea bean, okra prices

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A vendor sells vegetables in the city on Wednesday
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The high prices of vegetables have been responsible for rising of the Wholesale Price Index (WPI) for the month of July, according to data released by the central government on Monday. Local players say supply disruption of vegetables, because of flood and other market factors, has shot up prices of vegetables used in daily consumption.

The WPI for July shot up to 1.1 compared to June. However, vegetable prices rose by 48.75 per cent in a month. Like other cities, Ahmedabad has also witnessed the upsurge, especially in onion and tomatoes.

Deepak Patel, secretary of Agriculture Produce Marketing Committee (APMC), Ahmedabad, said that price fluctuations depend upon demand and supply. "Last year, farmers did not get remunerative prices for tomatoes. So this year, the production and, therefore, the supply have reduced, causing the prices to shoot up," Patel told DNA. Similarly, there is no carry forward stock of onion, as a result of which prices have risen.

According to market sources, the wholesale prices of tomatoes have risen from about Rs 15 per kg in June to Rs 30-40 per kg now. Similarly, onions are priced at Rs 25-30 per kg, a rise of about 20-25 per cent in about two months. Cowpea bean (chawli) has been priced at Rs 100 per kg in the wholesale market since April, while okra (bhindi) has shot up from Rs 30-40 to Rs 75 per kg in about two months.

Patel said that despite a drop in prices in the rural market, the retail prices continue to be higher for longer periods and most retail vendors try to profit from it.

The retail prices have also shot up for these veggies. Onion prices have almost quadrupled to Rs 60 per kg from about 15-18, while okra has also quadrupled from Rs 30-40 per kg to about Rs 120-150 in as many months.

Anuj Vasant, partner of Vasant Farm Fresh Veggies, informed that onion prices have risen because of crop failure in Madhya Pradesh. The recent floods in Gujarat have also unsettled farmers. "For a couple of years now, the onset of monsoon was delayed. Farmers failed to foresee heavy rains and their crops failed. Vegetables get spoiled if water is in excess. So prices rise," said Anuj. While the government data say that potato prices have risen by over 17 per cent in a month, traders say its prices have remain fairly stable in both wholesale and retail markets.

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