Vegetable Prices Soar In Delhi As Recent Floods Hit Supply
The damage to crops in neighbouring states such as Haryana and Punjab has led to a surge in vegetable prices in the mandis of Delhi.
With the retreat of floodwaters in neighbouring states, wholesale markets in Delhi have seen a surge in vegetable prices over the past week. At Azadpur Mandi, Delhi’s largest wholesale market for vegetables and fruits, prices have increased significantly due to disruptions in supply after recent floods and heavy rain in neighbouring states.
Many of Delhi’s fruit and vegetable supplies originate from regions that endured severe flooding in August.
From Sept. 2 to Sept. 9, prices of key green vegetables surged between 8% and 34% in Azadpur Mandi. This was largely driven by disrupted supplies and crop damage across Himachal Pradesh, Haryana, Uttar Pradesh, Punjab and Rajasthan, following heavy rain and flash floods in the last few days. The rise in vegetable prices reflects the impact of adverse weather conditions on agricultural production in these states.
According to a report from CRISIL Intelligence, heavy rainfall throughout August across Punjab, Haryana, Karnataka, Andhra Pradesh and Telangana has raised serious concerns about crop health. Punjab, in particular, experienced one of the most severe floods in decades, resulting in significant damage to key crops such as paddy, cotton and cauliflower.
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Rajasthan is currently facing significant risks to the yields of maize, bajra, green gram, jowar, cotton and black gram crops.
CRISIL Intelligence has highlighted the importance of monitoring September rainfall closely, as it coincides with critical growth phases for kharif crops, including paddy, cotton, soybean, maize, and onion. Any excess rain during this period could pose a serious threat to the overall crop.
“The southwest monsoon, delivering a significant 76% of India’s rainfall, calls the shots on the country’s agriculture and economy. Its quantum and temporal and spatial distribution impact kharif and rabi crops and food prices, inflation, demand and consumption,” the CRISIL report mentioned.
According to the report, unpredictable rainfall patterns are intensifying inflation pressures, as food accounts for nearly 47% of the Consumer Price Index (CPI) basket. Food expenditure represents approximately 47% of rural household spending and 40% of urban household expenses, making inflation in this category particularly impactful.
