“Government to Offer Tomatoes at Rs 40/kg from August 20 to Counter Price Surge”

NEW DELHI: To counter the upward trajectory of tomato prices, the government has announced the sale of tomatoes at a reduced rate of Rs 40 per kg starting from August 20. The Consumer Affairs Ministry has instructed the National Agricultural Cooperative Marketing Federation of India (NAFED) and the National Cooperative Consumers’ Federation (NCCF) to facilitate the sale in response to the continuous decline in tomato prices across both wholesale and retail markets.

Having procured over 15 lakh kg of tomatoes collectively since July 14, NAFED and NCCF have been distributing subsidized tomatoes in various regions such as Delhi-NCR, Rajasthan, Uttar Pradesh, and Bihar for the past month. Initially set at Rs 90 per kg, the subsidized retail price has gradually decreased to Rs 50 per kg as of August 15. The government’s new move aims to further reduce the price to Rs 40 per kg, effective from August 20.

Amidst a significant surge in tomato prices over the past two months, the government initiated procurement efforts from Andhra Pradesh, Karnataka, and Maharashtra to alleviate the price hike. The surge in tomato prices contributed to a notable increase in retail inflation, which reached 7.44% in July, consequently elevating food inflation to 11.51% for the same period.