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ECONOMY

Rising vegetable prices make kitchen costs dearer, consumers feel pinch

Prices of several staple vegetables commonly used in Nepali kitchens, including potatoes, onions, cabbage, carrots, cauliflower and green peas, have increased during the period. The rise in wholesale prices has also affected retail markets.
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By RUBY RAUNIYAR

KATHMANDU, June 19: Vegetable prices in Kathmandu Valley have seen sharp fluctuations over the past three months, shooting up household food expenses and putting consumers under pressure.



Data from the Kalimati Fruits and Vegetables Market Development Board show significant changes in wholesale vegetable prices between March 15 and June 18. Prices of several staple vegetables commonly used in Nepali kitchens, including potatoes, onions, cabbage, carrots, cauliflower and green peas, have increased during the period. The rise in wholesale prices has also affected retail markets.


At the same time, prices of some seasonal vegetables that were expensive in March have fallen sharply, in some cases by more than 50 percent. Tomatoes, eggplants, long beans, bitter gourds, bottle gourds, sponge gourds, pumpkins and pointed gourds from the Tarai have become much cheaper as supplies increased with the onset of the summer season.


According to market data, the prices of tomatoes, eggplants, beans and bitter gourds have declined due to higher seasonal production and supply. Despite the drop in wholesale prices, consumers say they continue to pay high rates in retail markets.


Jamuna Shrestha, a resident of Yatkha in Kathmandu, said ordinary consumers rarely benefit from lower wholesale prices.


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“We cannot always go to the Kalimati market. We have to buy vegetables from nearby shops at higher prices,” said the 75-year-old. “Just today, I paid Rs 60 for a kilogram of potatoes and Rs 80 for a kilogram of eggplants. People say vegetable prices have fallen, but that is not our experience.”


She added that limited agricultural production within Kathmandu also contributes to higher prices.


Housewife Rina Shrestha from Basundhara said vegetables are even more expensive in her area than in Yatkha. On Thursday, she paid Rs 65 per kilogram for both potatoes and onions.


“Prices vary from one shop to another,” said the 45-year-old. “Vegetables have become increasingly expensive in recent months, making household cooking costlier. Even leafy greens are expensive. The government should monitor retail shops and set reasonable price limits.”


According to Dr. Pradhumna Raj Pandey, executive director of the Kalimati Fruits and Vegetables Market Development Board, improved production around the Valley has helped lower wholesale prices of some vegetables.


“Wholesale prices depend on the season, the commodity, transportation and timing,” he said. “Vegetables are usually cheaper in the evening, though the quality may not be as good. Retail prices, however, remain high.”


Pandey said retailers often buy vegetables in crates or sacks rather than selecting individual items. If part of a shipment is damaged, retailers factor those losses into the final selling price. While profit margins should ideally range between 10 and 20 percent, some retailers are charging margins as high as 50 percent, he added.


Limited relief for consumers


Ramesh Dangol, planning officer at the Kalimati board, said consumers have not fully benefited from declining wholesale prices. Retail prices in Kathmandu's local markets, department stores and vegetable shops are often 25 to 60 percent higher than wholesale rates.


He said the market remains heavily dependent on seasonal production. While lower prices have provided some relief to consumers, they have also reduced farmers' earnings. Dangol warned that prices could rise again in the coming months if heavy monsoon rains disrupt supplies.


“The board does not fix vegetable prices. We only collect daily market data and publish average wholesale rates,” he said. “Retailers set prices according to their own circumstances.”


Dangol attributed the decline in wholesale prices of some vegetables to increased supplies from districts such as Dhading, Kavrepalanchok, Makwanpur and Chitwan. He also said winter crops reaching markets simultaneously and farmers rushing to clear fields before the monsoon had increased supply and pushed prices down. Continued availability of imported vegetables has also helped keep wholesale prices lower.


Retail traders, however, argue that transportation, storage, labor and spoilage costs prevent retail prices from falling at the same pace as wholesale prices.

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