Potato prices remain high, tomato and onion prices have eased from a month ago, while edible oil prices are rising again. After reaching a four-year peak in November, prices have continued to rise in December. As of December, potato prices have reached Rs 37.59 per kg, according to data from the Ministry of Consumer Affairs.
The rise in potato prices comes even as India’s retail inflation moderated in November to 5.48%, compared to a 14-month high of 6.21% in October, amidst easing in some food prices.
The crop damage in West Bengal due to unseasonal heavy rainfall caused the rise in potato prices since March, according to Crisil Market Intelligence and Analytics’ Director of Research Pushan Sharma.
The lower arrivals and reduced yields, which led to depleting cold storage stocks, resulted in a sharp year-on-year increase in potato prices from a low base last year, Sharma explained.
