Weak Monsoon Concerns Raise Pulses And Vegetable Prices In India

After two years of relatively good rainfall, the possibility of a weak monsoon seems concerning. This has led to fears of food price inflation, including pulses and vegetables. Pune and other regions in the country have experienced a consistent price increase. If the monsoon turns out to be weak, these prices are expected to rise even further. Let’s explore more about the same:

Sluggish Monsoon’s Impact

The delay in the southwest monsoon in Kerala indicates that vegetable prices may increase. Monsoon’s slow progress has resulted in insufficient rainfall, affecting agriculture, and potentially leading to reduced vegetable supply and higher prices.

Pulses Prices Surge

Pulse prices have soared nationwide, the Price Monitoring Cell of the Department of Consumer Affairs acknowledges the substantial price rise across all pulses and lentils and is taking measures to control the situation. Here are the latest prices across India:

1. Moong Dal- It is currently between Rs 110/kg-Rs 115/kg, up from Rs 100/kg to Rs 105/kg last year.
2. Toor Dal– It has experienced the most significant price increase. Its open market retail price now stands between 125.90-130 rupees per kilogram nationwide, compared to 100 – 105 rupees per kilogram in 2022.
3.  Urad Dal- It is between Rs 111- Rs 115 per kilogram, compared to Rs 101.24- Rs 105 per kilogram in 2022.
4. Masoor Dal-  It experienced a slight correction in the year-on-year price and is being sold between Rs 92/kg- Rs 94/kg against between Rs 95/kg-Rs 96/kg last year. 

Pune’s Localized Impact

As wholesalers reported a pre-existing price rising trend in the pulse and lentil market even before the monsoon worsened, Pune, Maharashtra, presents a different scenario. Pigeon pea and urad dal prices are already higher than usual, and any potential price softening is contingent upon a supply increase.

Retail Prices

Here are the latest dal prices in Pune:

1. Moong Dal– Around 100-110 rupees per kilogram.
2. Urad Dal- Around 100-110 rupees per kilogram.
3. Masoor Dal– Approx 70-75 rupees per kilogram.
4. Toor Dal- Approx Rs 140- Rs 150 per kilogram. 

Note- Pulses market supply has decreased by approximately 30%, exacerbating the price surge.

OFB’s Insight

The steady pulse prices rise is alarming. The possibility of poor monsoon adds to the worries, as it may further increase the inflationary pressure on food prices. If the monsoon fails to deliver sufficient rainfall, the pulses and other essential commodities prices are likely to rise even higher.

Read more: India’s Domestic Soybean Production Surge Set To Reduce Imports

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