CHENNAI: Almost after a year, the price of garlic has reduced drastically to Rs 150 per kg from Rs 300 to Rs 500 per kg due to a surge in arrival from Tamil Nadu and neighbouring states.
Traders anticipate that the rates are expected to be the same for the next few days based on the supply.
Earlier the price of garlic shot up in various parts of the country including Chennai owing to dwindling supplies from Maharashtra, Madhya Pradesh, Karnataka, and Tamil Nadu. It was sold at Rs 300 to Rs 500 per kg in the capital city for the last few months, irrespective of the chances of price falling to Rs 250 per kg with a marginal increase in the supply.
“Considering the demand for garlic, the farmers sowed additional crops during the first crop cultivation in December, and it has increased the production from Tamil Nadu and neighbouring states for the past few days. At present, the garlic has been sold at Rs 100 to Rs 150 per kg at wholesale and semi-wholesale markets. The prices are expected to remain stable or reduce further in the coming days due to adequate supply. If there is a fluctuation in the arrival of garlic, the prices might increase marginally,” said P Venkatesan, a trader at Koyambedu wholesale market.
It is noted that in 2022, garlic was sold for Rs 20 to Rs 30 per kg in various parts of the country. The farmers were forced to dump tonnes of garlic and as a result, they sowed limited crops before the onset of the northeast monsoon of 2023.
“Because the demand for garlic surged in the country, it recorded a steep rise from December 2023. So, the price of garlic skyrocketed to Rs 500 per kg at retail markets in the city. After stable supply from several states, the price gradually reduced and remained stable for a few months. However, due to frequent changes in weather conditions with extreme heat and rainfall last year, the supply was affected leading to a drastic surge in the price,” said P Sukumaran, treasurer, of Koyambedu Wholesale Merchants' Association.