Potato prices crash in Bengal on bumper crop bl-premium-article-image

Abhishek Law Updated - January 24, 2018 at 09:18 PM.

Mamata Banerjee government offers transport subsidy for export to other States

Woes of plenty A worker is seen transporting potatoes to a local market after a spell of rain in Kolkata on Wednesday ASHOKE CHAKRABARTY

A bumper crop, coupled with weak demand from other States, has led to a free-fall in potatoes prices in West Bengal.

The eastern State is the second largest potato producer after Uttar Pradesh. About 40 per cent of the total production is exported to other States.

According to sources, potato production in the State is expected to touch 110 lakh tonnes (lt), a 15-20 per cent increase over last year’s production of 90-95 lt.

West Bengal Agriculture Minister Purnendu Bose confirmed the bumper crop. “There has been a bumper crop. We are taking a host of measures to help farmer get remunerative prices,” he told

BusinessLine.

Prices skid

The Jyoti variety tuber is now fetching ₹210-260 for a 50-kg pack (which works out to be ₹4.20-5.20 a kg) at the farm-end.

This price is 30-40 per cent lower compared with the same period a year ago.

“A bumper crop coupled with lower winter sales to Andhra Pradesh, Odisha and Assam has seen stocks pile here and thereby impact prices,” a trader said.

Interestingly, trading sources partly blame West Bengal government’s policies for limiting growth in consumption. Reacting to rise in potato prices in the local market, the Mamata Banerjee government restricted movement of potato to other consuming centres over last two years.

The ban on inter-State trade evoked sharp response from the consuming States.

The neighbouring Odisha and Assam promoted potato cultivation in a big way to reduce dependence on West Bengal.

Fresh measures

Following a meeting on Wednesday, the State government offered subsidy to help promote inter-State sale of potatoes up to 2 lakh tonnes. A ₹10-crore fund will be created to subsidise transport cost to other markets.

Published on March 4, 2015 15:07