Potato Prices Surge 10% Amid Decreased Output

Potato prices have surged due to lower yields caused by unpredictable rains last November. Retail prices across India hit Rs 26 per kg, marking a 10% increase in potato prices from last month and a 32% jump from last year.

Wholesale prices reached Rs 1,944 per quintal, up 11.44% from last month and 33.18% from last year. There has been a huge decline in potato production in West Bengal and Uttar Pradesh which are the major producers of the crop.

Cold storage loading is down by 10-12%, indicating lower production and higher potato prices in the market. Farmers are holding onto their stocks, hoping for higher prices. With overall yields expected to remain low, prices are likely to remain high. The agriculture ministry's initial estimate suggests a decrease in potato production from 60.14 million tonnes last year to about 58.99 million tonnes this year.

Late rains in November damaged newly planted crops, leading to replanting in December. Unfortunately, recent April rains have further harmed crops ready for harvest. Traders anticipate continued high prices due to reduced yields. The increasing vegetable prices are likely to impact household budgets.