
In Costa Rica, the cost of essential vegetables such as tomatoes and potatoes has seen a sharp increase, impacting consumer budgets. At local farmer’s markets, the price for a kilogram of tomatoes reached ₡3,000 ($5.50) between January 10th and 12th, with supermarkets pricing them over ₡4,000 ($7.30) per kilo. Similarly, potato prices soared to more than ₡2,370 ($4.30) per kilogram from ₡625 ($1.15) the previous year, marking a 279% hike as per the National Production Council (CNP).
The Minister of Agriculture and Livestock, Víctor Carvajal, linked these price surges to the destruction caused by Hurricane Rafael and Tropical Storm Sara in late 2024, which led to significant crop losses valued at over ₡35,000 million ($64 million). Besides tomatoes and potatoes, other vegetables like onions, chayote, and peppers have also been affected due to diseases, pests, and reduced productivity
Ivannia Quesada, the president of the National Chamber of Agriculture and Agroindustry (CNAA), had previously indicated the potential for such price increases following the storms, highlighting the susceptibility of short-season vegetables like tomatoes to price volatility from elevated production costs and crop damages. She also mentioned the role of high intermediation margins in the agricultural supply chain, which inflate the retail prices significantly above what farmers receive.
Economists attribute the steep tomato prices to an inflationary shock from rising agrochemical and transportation costs, along with high demand during the holiday season. Additionally, abnormal rainfall patterns have reduced the supply of tomatoes and other vegetables, further pushing prices up.
The price hikes are affecting households throughout Costa Rica, prompting government and agricultural entities to seek solutions for price stabilization. The effectiveness of these measures in providing timely relief to consumers is yet to be determined.
Source: The Tico Times