Supply glut pushes tomato prices to Rs 6 per kg in Dharmapuri

Officials in the agriculture marketing department cited lack of crop rotation as reason for the excess supply and urged farmers to ensure crop rotation.
1 kilo of tomatoes is bought by traders at Rs 6 and sold in retail at Rs 10. A 15-kg crate is bought for Rs 120.
1 kilo of tomatoes is bought by traders at Rs 6 and sold in retail at Rs 10. A 15-kg crate is bought for Rs 120.Photo | Sri Loganathan Velmurugan, EPS
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DHARMAPURI: With summer approaching, tomato markets in Dharmapuri are seeing a glut in supply due to increase in production and lack of demand in other markets. As a result, one kilo of tomatoes is bought by traders at Rs 6 and sold in retail at Rs 10. A 15-kg crate is bought for Rs 120.

In Dharmapuri, tomatoes are cultivated in 12,000 hectares. There are several private wholesale markets functioning in Palacode and Royakottai. As peak summer draws near, the markets are witnessing a supply glut. Officials in the agriculture marketing department cited lack of crop rotation as reason for the excess supply and urged farmers to ensure crop rotation.

Speaking to TNIE, P Ganeshan, a trader from Palacode said, “The surplus supply is driving down prices. We have about 15 tonnes of tomatoes arriving in the market with no buyers. Decades ago, we had a strong supply chain which kept the prices stable. But in the past decade, tomato cultivation has been taken up in the southern districts of Tamil Nadu also. If there is self-sufficiency in their districts, there is a lack of demand here.”

A farmer from Palacode, R Kumaravel, said, “We do not have alternative. With summer approaching we do not know if we would face a heat wave or drought. In such uncertain climatic conditions, we cannot risk investing in other crops. Furthermore, in the upcoming weeks, the glut will only increase, as tomatoes flourish in our soil and climate. We face this situation once a year. A viable solution like MSP is the need of the hour.”

Another farmer, K Murugesan from Papparapatti said, “While we sell the tomatoes for Rs 6 per kg, Rs 1 goes towards cleaning and transportation costs. So the effective price is Rs 5 per kg. It is possible that in the weeks ahead, the prices will drop further.”

Officials in the agriculture marketing department said, “Over the past decade,  we have been facing a glut during summer. Ulavar Sandhai offers Rs 10 per kg for tomatoes, but there is only so much we can take from farmers. We have been advising farmers to undertake crop rotation every year. But most often, our advice is ignored.”

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