The prices of tomatoes have plummeted in major markets due to oversupply, causing farmers to dump their stock rather than incur losses. The drastic decrease in tomato prices has brought relief to households that were previously unable to afford the kitchen staple. Prices have dropped from nearly ₹8,000 per quintal to ₹200-300 per quintal in some markets within a matter of weeks. This problem highlights the lack of price information for farmers, as well as low levels of food processing and the “cobweb phenomenon” in agriculture. As prices soared, farmers planted larger areas with tomatoes, leading to an increase in production.

Source: Hindustan Times September 14, 2023 01:36 UTC