Weather, demand-supply mismatches TOPpling inflation mathematics: Crisil

A recent report by Crisil highlights that volatility in vegetable prices has increased in the past four years due to demand-supply imbalances, not just weather-related events. This volatility poses problems for consumers, farmers, and policymakers. Potatoes, onions, and tomatoes are the primary drivers of price volatility in the food category. The report suggests that vegetable production has not kept up with demand, and there are high losses and wastages in the supply chain. Investment in post-harvest infrastructure and short-term policy interventions are needed to stabilize prices.

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