Onion Price Stings, Tomato Purees Budgets and Menus

In Ahmedabad, onions and tomatoes—essential ingredients in daily meals—have skyrocketed beyond Rs 100 per kilogram, disrupting household budgets and forcing restaurants to revise their menus. This price surge, driven by crop damage in Maharashtra and supply shortages, has hit small eateries the hardest, making it difficult for many to continue offering staple dishes at affordable prices.

Currently, tomatoes are retailing at Rs 140-170/kg, with wholesale prices at the Agricultural Produce Market Committee (APMC) ranging between Rs 45-80 per kg. Similarly, onions are selling for Rs 85-90 per kg in app-based markets, making everyday meals more expensive for families and restaurants alike. A typical household in Ahmedabad consumes close to 4,000 quintals of tomatoes and around 9,000 quintals of onions daily, far exceeding the supply that the city receives from Maharashtra and Bengaluru.

The situation is particularly grim for small eateries, which rely heavily on these ingredients to prepare popular dishes. Narendra Somani, president of the Federation of Hotel and Restaurant Association, Gujarat, noted that several restaurants have started ordering pre-made gravy to manage costs. However, small restaurants and street vendors are bearing the brunt of the price volatility.

The price spike is largely due to crop damage caused by heavy rains in Maharashtra, which destroyed both fresh crops and stored stock. As a result, farmers have been forced to push the remaining supply into the market, driving prices up. The Gujarat market is currently dependent on supplies from Maharashtra and Bengaluru, but these are insufficient to meet the city’s demand.

Additionally, reports suggest that tomato yields from western Nashik may be hit further due to high temperatures and unseasonal rains. A shortage of onions is also expected to persist until Gujarat’s local harvest reaches the market, likely around Diwali, when prices are expected to stabilize.

Residents like Rajeshwari Shah from Memnagar and Krishna Patel from Bopal are feeling the pinch. Shah mentioned that she now hesitates before preparing dishes like paneer in gravy, which require a generous amount of onions and tomatoes. Traders at the APMC market also highlighted that the high cost of transportation, coupled with crop damage, has contributed to the current price spike.

With onions and tomatoes reaching record prices, the impact is being felt across households, eateries, and markets in Ahmedabad. As the city waits for relief in the form of local harvests post-Diwali, both families and restaurants are making adjustments to cope with the soaring costs of essential ingredients.

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