Why vegetable prices are burning a hole in your wallet
Mint analysis showed. In those five years the annual average of the consumer price index for vegetables hardly moved — not because prices stayed calm, but because up-and-down cycles meant relative stability in yearly averages. That’s no longer the case.
Pointed gourd (parwal) has fared the worst, averaging ₹140 during FY22-FY24 for every ₹100 you needed to pay during FY15-FY19, followed by radish at ₹136 and carrot at ₹135. Tomato also featured in the top 10. Vegetable prices typically surge and plunge throughout the year.
Prices are driven in part by seasons – usually rising in summers and cooling in winters. But of late, the effects of climate change – in the form of heatwaves and low, uneven or excess rainfall – have caused lengthier surges. This was evident throughout FY24, when uneven rains caused tomato prices to rise before unseasonal rains led to costlier onions.
From negative 8.5% in March 2023, vegetable inflation hit a peak of 37.4% in July before moderating to 2.8% in October and rising again to 28.3% in March 2024. Volatility in vegetable prices has kept policymakers on their toes, ready to manage the situation whenever it spirals out of control. At the same time, the declines after the surges have done little to reduce overall household budgets.
On top of that, the expected seasonal decline typically seen in the winter months didn’t materialise in FY24, putting more pressure on budgets. “India is among the most climatically vulnerable countries and the weather risks are only mounting," Crisil said in a report last month. “Given the higher susceptibility of vegetables to the weather (heatwaves, floods, storms, changing monsoon patterns and so on), climate change is likely to have a dire impact on vegetable
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