Govt reduces subsidised tomato price to Rs 50 a kg in Delhi-NCR, Mumbai from today

Consumer Affairs Secretary Nidhi Khare announced the price reduction in tomatoes

The government has reduced the price of subsidised tomatoes to Rs 50 per kilogram in Delhi-NCR and Mumbai retail markets effective from August 1.

The move came after the price of the crop shot up to Rs 60 a kg. The initiative, first launched at Rs 60 per kg by Food and Consumer Affairs Minister Pralhad Joshi on July 29 in Delhi-NCR, was later extended to Mumbai.

Consumer Affairs Secretary Nidhi Khare announced the fresh price cut, highlighting the government's efforts to bring down tomato prices through intervention. The National Cooperative Consumers' Federation of India Ltd (NCCF) is facilitating the sale of tomatoes through mobile vans.

As of July 31, tomato price averaged Rs 61.74 per kg across the country, while in Delhi it was selling for Rs 70. Last month, the tomato prices had shot past Rs 100 a kg because of supply disruptions caused by heatwaves and erratic rain.

To further stabilise the prices, the ministry is planning to rope in Mother Dairy to sell tomatoes through its Safal stores in Delhi-NCR. The ministry has not used the Price Stabilisation Fund (PSF) for this initiative and, instead, it is procuring tomatoes directly from wholesale mandis.

This move aims to ensure reasonable profit margins at the retail level, prevent windfall gains for intermediaries, and protect consumer interests. The NCCF's intervention seeks to curb price rises, maintain price stability, and promote fair trade practices, demonstrating a commitment to a stable market ecosystem.

(With agency inputs)