Potato prices may not fall before Dec
Potato prices, ruling at Rs 18-20 a kg in many parts of the country, are unlikely to come down before December as new crop is expected to arrive only in late November, which will then ease the supply pressure.
By PTI |
NEW DELHI: Potato prices, ruling at Rs 18-20 a kg in many parts of the country, are unlikely to come down before December as new crop is expected to arrive only in late November, which will then ease the supply pressure.
NHRDF additional director S Bhonde said: "Prices will remain high till December because of increased demand amid rising prices of other vegetables."
However, an Agra-based cold storage owner Sanjay Goyal said prices may start easing from November. Pointing out that production of potato is not less, Mr Bhonde said the demand has suddenly increased. Consumers have shifted to potato due to higher prices and limited availability of other vegetables.
According to the Nasik-based National Horticultural Research and Development Foundation (NHRDF), potato production in 2009-10 is estimated to be about 31 million tonnes, same as last year.
Currently, prices are ruling in the range of Rs 16-18 per kg in metros compared with Rs 4-10 per kg six months back.
Lower arrival of the commodity has kept prices under pressure, Mr Bhonde said adding as the demand has surged in the wake of poor monsoon traders are not releasing much quantity in the wholesale market.
Mr Bhonde also observed that prices have risen also because of diversion of potatoes as seed for early rabi sowing, which has already begun in states like Madhya Pradesh and Maharashtra.
It is estimated that over 61% potato production is used for table purpose 21% as seed, 0.5% processed and only about 0.03% is exported. About 17% of potatoes is lost during post-harvest handling marketing and storage.
The maximum quantity of potatoes are grown between October and February in Uttar Pradesh and West Bengal, which contributes about 65% to the country���s total production.
NHRDF additional director S Bhonde said: "Prices will remain high till December because of increased demand amid rising prices of other vegetables."
However, an Agra-based cold storage owner Sanjay Goyal said prices may start easing from November. Pointing out that production of potato is not less, Mr Bhonde said the demand has suddenly increased. Consumers have shifted to potato due to higher prices and limited availability of other vegetables.
According to the Nasik-based National Horticultural Research and Development Foundation (NHRDF), potato production in 2009-10 is estimated to be about 31 million tonnes, same as last year.
Currently, prices are ruling in the range of Rs 16-18 per kg in metros compared with Rs 4-10 per kg six months back.
Lower arrival of the commodity has kept prices under pressure, Mr Bhonde said adding as the demand has surged in the wake of poor monsoon traders are not releasing much quantity in the wholesale market.
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In Delhi the average daily arrival of potato has fallen to 1,000 tonnes at present from 1,300 tonnes in a year-ago period. A similar trend was seen in Kolkata and Agra the two other major centres for potato trading. The potatoes available during April-October period is largely supplied by cold storages. About 16-17 million tonnes of potatoes are estimated to have been stored from 2008-09 crop to meet the demand in lean season. Mr Bhonde also observed that prices have risen also because of diversion of potatoes as seed for early rabi sowing, which has already begun in states like Madhya Pradesh and Maharashtra.
It is estimated that over 61% potato production is used for table purpose 21% as seed, 0.5% processed and only about 0.03% is exported. About 17% of potatoes is lost during post-harvest handling marketing and storage.
The maximum quantity of potatoes are grown between October and February in Uttar Pradesh and West Bengal, which contributes about 65% to the country���s total production.
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