Rice gets costlier by 15-20% in Karnataka: Here’s why

livemint.com:

agricultural authorities, amid concerns over soaring rice prices, are attributing the price surge of the staple grain to irregular and inadequate rainfall patterns. The shortage in supply relative to demand has led to a remarkable 15-20% increase in rice prices within a span of just over a month. Traders at Yeshwantpur APMC have reported notable price hikes for various rice varieties, The Times of India reported.

Raw Sona Masuri has witnessed a surge from ₹45-48 per kg in June to ₹55-60 per kg in the current market. Likewise, idli-dosa rice prices have escalated to ₹35 per kg, compared to the earlier range of ₹28-30. Steam rice, predominantly used in the hospitality industry, is now priced at ₹45-50 per kg, up from the previous ₹38-43.

Retail prices tend to be an additional 10-15% higher than wholesale rates at the APMC. Experts highlight, as per TOI, that heavy monsoons in 2022 adversely affected the crop while sowing in 2023 has encountered a 40% decline across Karnataka due to insufficient rainfall. The critical factor in this scenario is the scarcity of water.

Ramesh Chandra Lahoti, a member of the Yeshwantpur APMC co-ordination committee, emphasized the influence of the forthcoming ten days' rainfall, as its absence could further escalate rice prices. A staggering 2,500 litres of water are needed to cultivate just 1 kg of paddy, TOI reported while citing agricultural sources. Farmers, especially those in regions like Mysuru, Mandya, Hassan and Chamarajanagar, are grappling with the dire need for water for their paddy fields, as per the publication.