January 20, 2022

The World Stock Markets Tips & Targets, News, Views & Updates

The World Stock Markets Tips & Targets, News, Views & Updates

Erratic weather likely to hit yield of tomato, onion & potato crops

At present, while the mandis’ prices of the key vegetables such as onion and tomato in the producing states continue to rule above the prices prevailed a year ago period, potato prices which are currently ruling below the last year’s price because of bumper production, could witness a spike because of anticipation of a lower rabi yield.

The erratic weather conditions like rains and hailstorms witnessed recently are likely to hit the yield of key vegetables such as potato, onion and tomato, thus pushing up their prices in the coming weeks, a market intelligence report prepared by the ministry of food processing industries (MFPI) has stated.

At present, while the mandis’ prices of the key vegetables such as onion and tomato in the producing states continue to rule above the prices prevailed a year ago period, potato prices which are currently ruling below the last year’s price because of bumper production, could witness a spike because of anticipation of a lower rabi yield.

In Maharashtra, the country’s biggest producer of onion, recent rains have reduced production of late kharif crop which according to MFPI report ‘could cause reduced supply in the later weeks of January and February, 2022’. The benchmark prices of onion at Lasalgaon, Nasik, the hub of trade, on Wednesday was 1,850 per quintal against 1,350 per quintal prevailed a year ago. According to official sources, the retail prices of onion in key cities like Delhi, Chennai, Hyderabad and Kolkata have risen to Rs 40 a kg from Rs 33 a kg prevailed a week back. “Rains have adversely impacted the yield of kharif onion crop thus pushing up prices as the crop enters the market after the completion of harvest,” Balasaheb Misar, an onion farmer from Manmad, Nashik district told FE.

Traders at Azadpur Mandi, the country’s biggest wholesale market for fruits and vegetables, said that rainfall and hailstorm along with cold waves have adversely impacted the standing rabi or winter crop of tomato in Rajasthan, Punjab and Haryana. “If such erratic weather conditions could continue, the yield losses would be higher,” a trader told FE. The benchmark mandi prices of tomato at Kollar, Maharashtra, was Rs 1,660 per quintal against Rs 860 per quintal a year ago. The retail prices across major cities are Rs 40-50 a kg.

Potato is currently being sown as rabi or winter crop and then the harvested crop will be kept in cold storage for ensuring supplies throughout the year, the MFPI report has noted that “erratic weather is posing the threat to the crop in Uttar Pradesh, Bihar and Madhya Pradesh as crop is at tuber forming stage and foggy weather and low temperatures will affect the formation of tuber”. According to third advance estimates of horticultural crops production of 2020-21, production of potato was reported at a record 54.2 million tonne (MT) which was an increase of 5.6 MT than the previous year.

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