Cyclone triggers distress sales, causes vegetable prices to plummet across mkts
Times of India | 25 October 2024
Kolkata: In the last three days, the threat of Cyclone Dana has forced farmers to prematurely harvest their crops, leading to a glut in the vegetable market and a significant drop in prices. The urgency to save crops from potential water damage resulted in a distress sale of produce, pushing down prices as supply exceeded demand.
The price of most vegetables hovering around Rs 100/kg has now fallen below Rs 50/kg, offering short-term relief to consumers although experts warn it is only a temporary reprieve.
Several market analysts predicted that while prices are currently low due to an oversupply, the aftermath of the cyclone could bring shortages and push prices back up.
“We anticipate the situation will reverse if the cyclone causes widespread damage to standing crops. We are expecting the first cycle of winter vegetables after this week, so there will be a slight delay in their supply. This could lead to a destabilisation in cooling off of perishable prices,” said Kamal De, a member of Bengal Market Task Force.
“We were alerted by the district administration for an early harvest to save our produce. But this premature harvesting pushed the supply much higher than on a normal day. So we could hardly recover the input costs. But saving crops is now more important,” said Usman Ali, a Bhangar farmer.
Homemaker Banani Ghosh said, “The lower prices have provided some relief, even though everyone says it’s temporary. But this entire season, vegetable prices have remained high, constantly straining our household budget.”
Farmers and retailers, too, are facing challenges. Nitesh Saha, a vegetable seller in Maniktala, said, “The quality of the produce isn’t holding up well. We’re seeing discolouration and rot after just a day. We can’t store them for long, so we’re sending them to the market without delay.”