The delicious tomato you use in almost every dish passes through three hands once it leaves the field, but when it reaches you the price goes up 3-4 times. The biggest loser is the final consumer, and the farmer is not the biggest beneficiary. A supply chain analysis reveals that intermediaries and traders walk away with the lion’s share of each level.
On Monday, Chennaiites paid Rs 40 for drumstick farmgate price Not even 30%. A month ago, tomatoes were priced at Rs 40 per kg in Krishnagiri, which was selling up to Rs 160 per kg in Chennai, citing short supply.
While the agricultural price of first quality tomato was just Rs 36 a kg in Krishnagiri on Monday, it was Rs 45 a kg at the Koyambedu wholesale market, Rs 60 a kg at neighborhood shops and retailers and Rs 85 a kg online.
The striped variety of brinjal bought for Rs 25 per kg in Tiruvallur farms fetches Rs 50 per kg in Koyambedu and Rs 80-120 per kg in Chennai. Coconuts worth Rs 15 a kg in Tirunelveli are sold for Rs 40 to 50 in Chennai and Tambaram.
T Madhe Goudu, a farmer from Krishnagiri, says that last month the price of tomatoes was Rs 160 per kg, even then he got the highest Rs 40. “Everyone benefits when prices rise, but only farmers suffer when prices fall. But be it loss or profit, middlemen take their commission. He has a no-loss venture.”
The government has little role to play in what is grown, how it is priced and how it harms both producers and end users. The lack of a regulatory mechanism is a loophole that needs to be addressed.
S Chandran, secretary, Federation of Wholesale Vegetable Market Associations, says that prices are determined on a daily basis and there is a lot of volatility even within a week. Farmers are paid in advance and are required to bear and suffer losses during transit.
An official at an online grocery store in Chennai said they can offer high quality tomatoes at Rs 50 per kg if they are brought from the fields.
“We have to price it Rs 70 because we buy it from Koyambedu.”
Manivakkam’s Satyapriya said the rise in prices is forcing families to cut down on the number of vegetables on the plate.
R Kottachami, former vice-president of Tamil Nadu Banana Growers Federation, said that the minimum support price for fruits and vegetables should be fixed so that farmers can be saved from loss.
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