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Farmers in India Struggle with Falling Tomato Prices: What’s Behind the Price Drop?

Farmers in India face significant losses as tomato prices hit record lows, with many opting not to harvest. Here's why prices are falling

Tomato prices hit record lows.
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Tomato prices have dropped to their lowest levels of Rs 2-Rs 5 in Kolar district in Karnataka, leading many farmers to leave tomatoes unharvested during the onset of summer.

Farmers told The Hindu that tomato prices have been falling for nearly six months, particularly in the last two months.

According to the Crisil Roti Rice Rate (RRR) report, the sharp decline in tomatoes prices has reduced the year-on-year cost of vegetarian thali. Tomato prices dropped 34% from Rs 32 per kg in March 2024 to Rs 21 per kg in March 2025, stated the report.  

Farmers Express Disappointment

Farmers reported to The Hindu that the selling price of one box (15kg) of tomatoes varies from Rs 30 to Rs 200 (Rs 2 per kg to Rs 13 per kg) at the Kolar Agricultural Produce Market Committee (APMC).

Harvesting and transporting tomatoes costs Rs 70 per box, and selling price only covers a portion of this cost, forcing farmers into as loss of Rs 20 per box. As a result, many are refraining from harvesting. Taking their crops to the APMC would add further costs due to the commission charges.

In Chittoor district of Andhra Pradesh, a similar situation occurred a week back. On March 28, the selling price of a 15 kg box of tomatoes was reported to be Rs 110, with some boxes priced as low as Rs 30, which do not cover the harvesting costs. According to Deccan Chronicle, these prices are unsustainable for farmers.

The continuous decline in tomato prices has left farmers distressed, as they are unable to secure profitable returns. Prices are likely to stabilise once exports resume.

Why Tomato Price is Falling?

The price drop is attributed to increased production in the southern states, particularly due to healthy rabi crops (winter crops). A large amount of land was used for cultivation and better crop yields were achieved compared to the previous year. The healthy reservoir levels also contributed to a better production.

Speaking about the other factor that affected the fall of tomato prices, Nalini Gowda, president, Karnataka Rajya Raitha Sangha, Kolar district told The Hindu that the reduced shelf life of tomatoes has led to almost stopping of exports in recent days. Exporting tomatoes from Kolar to countries like Pakistan, Bangladesh and other South Asian countries required two to three days, causing tomatoes to spoil in transit. Additionally, the failure of crops due to bingi (leaf curl disease) in the past five years has further impacted the overall yields.

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