As tomato prices cool down, vegetable inflation will decline by Sept: RBI Guv
Global supply chains are under pressure, which along with rising global commodity prices have contributed to “multi-decadal high inflation” in 2022, says Shaktikanta Das
Global supply chains are under pressure, which along with rising global commodity prices have contributed to “multi-decadal high inflation” in 2022, says Shaktikanta Das
In July 2023, though growth prospects have been strong, inflationary pressures have "re-emerged", says the finance ministry in the latest monthly economic review
The month of July has witnessed accentuation of food inflation, primarily on account of vegetables, says Shaktikanta Das
The Department of Consumer Affairs has directed NCCF and NAFED to sell tomatoes at retail price of ₹70 per kg rate from July 20
This volatility also gets transmitted to prices of other vegetables in both retail and wholesale markets, says RBI.
SBI Research also pointed out that if tomato prices continue to increase, CPI based inflation – retail inflation – will touch 6%, which is the upper tolerance limit of the Reserve Bank of India.
If tomato prices rise without substantial change in potato & onion, inflation in Q2 to come near 5.8%; if TOP inflation surges, it might come around 6% in quarter, says SBI
According to the ministry, the procured tomatoes will be distributed in major consumption centres where retail prices have recorded a maximum increase in the last month.
Traders say the prices have zoomed due to supply constraints caused by heavy rains in various parts of the country
Around 76% of the respondents see their monthly vegetable budget increase between 25-100% in the last two years, shows a survey LocalCircles.