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Informist, Friday, Jul. 11, 2025

 

--Govt official: To intervene if tomato retail prices cross INR 60/kg

 

By Pallavi Singhal

 

NEW DELHI – As prices of tomatoes rise, the Consumer Affairs Ministry is taking proactive measures to stabilise prices in the retail market. In a recent directive, the ministry has instructed the National Cooperative Consumers' Federation of India Ltd. to collaborate with Mother Dairy to intervene in the tomato market as soon as the average modal price exceeds INR 60 per kilogram, a senior official told Informist. 

 

According to the ministry's daily price report, the current average price of tomatoes in the retail market is INR 40 per kilogram. The ministry is prepared to act swiftly in case of any price surge, ensuring that consumers are protected from excessive price hikes, the official said. This is the first time, the government has shown its openness to intervene ahead of time to cushion any steep rise in tomoato prices. 

 

Tomato prices generally rise in Jul-Sept on adverse weather conditions and logistics disruptions by heavy rains. The high susceptibility of tomato crop and high perishability of the fruit also affect prices. Prices of the commodity, according to the consumer affair's ministry data, were up 39% on month as on Friday.

 

The cooperative has been directed to procure tomato from wholesale mandis at cheaper prices and supply them to Mother Dairy outlets, which will then sell the commodity at a slight profit. This strategy aims to maintain a steady supply of tomato in the market, thereby controlling prices and preventing profiteering.

 

While the ministry has set a trigger point of INR 60 per kilogram for intervention, the actual selling price of tomatoes through Mother Dairy outlets will be determined based on prevailing market prices at the time of intervention. This flexible pricing approach will help the ministry to respond effectively to changing market conditions.

 

The government's objective behind this intervention is to protect consumers from price volatility and ensure a stable supply of essential commodities like tomato. "Even though we see prices of the commodity rising, we do not see them crossing INR 200 per kg as they did in 2023," the official said. Government estimates show that tomato production in 2024-25 season is estimated at 21.54 million tonnes, 1% more than the previous year.  End

 

Edited by Akul Nishant Akhoury

 

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