New Delhi: The Central government is preparing to launch subsidised tomato sales through cooperative outlets to contain a sharp rise in retail prices and provide relief to consumers. The move comes as tomato prices have increased significantly in several parts of the country due to weather-related supply disruptions and delayed arrivals from key producing regions.
According to government officials, tomatoes may be sold at subsidised rates of ₹35-45 per kilogram through outlets operated by the National Cooperative Consumers’ Federation of India and other cooperative networks. The intervention is expected to begin in selected locations across Delhi-NCR and Mumbai before being expanded to other cities based on market conditions.
The decision follows a sharp increase in retail prices. The all-India average retail price of tomatoes has risen to around ₹44.36 per kg, compared with ₹34.43 per kg a year ago. In many local markets, tomatoes are being sold for ₹60-70 per kg, while some areas in Delhi have reported prices approaching ₹90 per kg.
Officials attribute the price rise to delays in crop arrivals, adverse weather conditions in major producing regions and reduced supplies during the transition between harvesting cycles. Heavy rainfall has affected crop quality and increased wastage, further tightening supplies in key consumption centres.
The government has used similar market interventions in previous years to moderate prices. During earlier periods of sharp inflation, NCCF and National Agricultural Cooperative Marketing Federation of India procured tomatoes directly from producing states and sold them at discounted rates to consumers through mobile vans and retail outlets.
The latest intervention is also aimed at controlling food inflation. Tomato prices have historically played a major role in pushing up vegetable inflation, and sharp spikes in tomato rates have often contributed to broader increases in retail food inflation.
Economists believe the current rise may be temporary because tomatoes are highly perishable and supplies are expected to improve as fresh arrivals from producing regions enter the market. Increased arrivals from major growing belts could help stabilize prices in the coming weeks if weather conditions remain favourable.
India produces more than 21 million tonnes of tomatoes annually, making it one of the world’s largest producers. The government’s intervention is expected to help bridge the gap between supply and demand while protecting consumers from sudden price spikes during the monsoon season.