Increase in food inflation due to lack of production in vegetables as per demand

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Mumbai: As the supply of vegetables does not increase according to the increasing demand of vegetables in the country, food inflation often increases. A study conducted by Crisil found that the inflation of vegetables in the food category remains quite volatile.

Changes in food choices in the country, rising incomes and growing population are also increasing the demand for vegetables. There is no increase in supply as per demand.

Apart from rise in temperature, the availability of vegetables in the market due to pest attack and spoilage is also decreasing, said the CRISIL report.

Farmers are also not particularly enthusiastic about growing vegetables due to the risk of price uncertainty.

The weightage of vegetables in food index is 15.50 percent. India ranks second only to China in vegetable production, but production growth has slowed recently, while demand is picking up.

A large number of vegetables are wasted during grading and sorting operations at the farm level itself.

Emphasis is placed on the use of modern technology to prevent wastage and wastage.

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