Vegetable prices slip on good rainfall, arrival of winter

PUNE: Vegetables prices are rapidly declining due to good rainfall and the arrival of winter, raising hopes for a softening in food inflation.

Wholesale price inflation rose to 7.8% in September from 7.55% in August. Fruits and vegetables along with protein foods have had a major role in keeping food inflation high this year.

Most vegetables are being sold for less than 10/kg, said Sriram Gadhve, president of All India Vegetable Growers' Association. "Good rains and comfortable reservoir levels have helped enhance production of vegetables across the country," said Gadhve.

Traders say that the decline in prices at the wholesale level is being seen across the regions.

" Vegetable prices are coming down every day. Spinach has come down to 2-3/kg from 10/kg. Cabbage price has declined from 20/kg to 8/kg while onion price has also come down after Navratri from 15/kg to 11/kg," said Subhash Chug, a trader at the Azadpur Mandi, New Delhi.

Arrival of potato is expected to begin in the next three to four days in north India, putting pressure on prices. "The consumers in metros are still to pay not less than 40/kg for vegetables," said Gadhve. Onion is the only exception. Prices of good quality onion have risen to more than 10/kg during the last fortnight as its availability has decreased but the new harvest is late by a month.