Indian households and policymakers are looking towards the monsoon season for relief from the escalating vegetable prices that are straining budgets. The surge in prices, influenced by extreme heat across various regions, is expected to elevate inflation by approximately 0.4-0.6 percentage points in the coming months. According to Madan Sabnavis, chief economist at the Bank of Baroda, the heatwave's effect on vegetable output and prices is anticipated to contribute to this inflationary trend. In Delhi's Azadpur Mandi, a significant wholesale market, vegetables such as okra, sponge guard, and cabbage are being sold at prices higher than the previous year, as noted by a trader at the market.
Comparative data from Azadpur Mandi highlights the price increase, with tori now priced at Rs 80 per kg, up from last year's Rs 60, parwal at Rs 100 compared to Rs 70, cabbage at Rs 40 from Rs 20, and garlic at Rs 240, a significant jump from Rs 80. This price hike is attributed to the robust demand for vegetables amidst the prevailing heatwave conditions. The Indian Meteorological Department (IMD) has forecasted "above normal heatwave days" during the hot weather season from April to June, attributed to El Niño conditions. However, an above-normal monsoon is also predicted by the IMD this year.
[ Rs 100 = €1.10 ]
Source: economictimes.indiatimes.com