NORMALLY, surplus production of vegetables results in marked decline in their wholesale and retail prices. The abundant supply of onion, potato, tomato etc this season has created a glut in the market. However, commission agents in Karachi and Hyderabad say prices of early harvested green chilli and okra remain stable.

Wholesale vegetable dealers like Javed Arain in Hyderabad and Ahmed Durrani in Karachi attributed production surpluses to the increasing trend among growers to go for vegetable cultivation in preference to other crops and favourable climatic conditions. So, the output was impressive this season. Durrani says prices have fallen to an extent that farmers find it hard to meet their cost of production.

Though counted among smaller crops, vegetable cultivation is preferred by farmers to other crops due to depressed prices of major crops over the last few years. Short-term crops like onion, tomato, okra, brinjal, green chilli, etc require less investment and get growers immediate cash payments.

Vegetables like okra are grown on residual moisture of land where paddy has just been harvested. An added attraction is hybrid seeds with improved per acre yields.

Vegetables like okra are grown on residual moisture of land where paddy has just been harvested. An added attraction is hybrid seeds with improved per acre yields

Durrani says green chilli is marketed in Punjab while cucumber, which is in surplus, is despatched to Karachi. A jute bag with 45kg of okra is sold for Rs4,000-4,500 in Karachi’s wholesale market against Punjab’s rate of Rs7,500 or so. Iqbal Arain, another trader, says the ordinary potato of Punjab is being sold at Rs5-7/kg and its special quality at Rs8/kg in the wholesale vegetable market at Super Highway, Karachi.

“Potato crop in Punjab has been excellent this year,” Arain says, adding it is being disposed of at a throw-away price because it is a perishable commodity and sufficient storage facilities are not available.

Likewise, onion from Jamshoro, Mirpurkhas, Benazirabad districts are selling at wholesale rate of Rs15-20/kg.

Growers of okra are satisfied as multiple pickings so far has earned them reasonable return between Rs35,000-40,000/acre. The return could finally go up to Rs100,000/acre in another 45 days.

Farmers grow vegetables as alternate crops especially in the Rabi season. In Thatta and Badin districts vegetable cultivation has replaced the sunflower crop.

Nadeem Shah, a grower, says the market prices are far lower than his cost of production and sales. “Cost of picking is Rs250/40kg, then add to it the 10pc brokerage commission and transportation charges.” The price of cauliflower has been alarmingly low at Rs60/40kg.

“Switching from one crop to another often does not pay because of volatility in prices,” he observed.

Onion’s acreage in Sindh is increasing as it is now being cultivated right up to upper Sindh and to quote Iqbal Arain best quality onion is being sold at wholesale rate of Rs800/40kg in Karachi

due to the surplus production. Onion is cultivated almost round the year across Sindh and the crop keeps hitting the market with short intervals.

Shah says he used his current cabbage crop for mulching instead of selling it in the market due to low prices. He called for increasing export of vegetables and urged the Trade Development Authority of Pakistan to play a more active role in this regard.

Published in Dawn, Business & Finance weekly, April 4th, 2016