Tomato farmers in parts of Andhra Pradesh are facing severe losses as prices have crashed to just ₹2 per kg at Ramabhadrapuram market. With cultivation costs far exceeding returns, many farmers are leaving crops unharvested due to mounting losses.

From ₹40 to ₹2: A Sudden Price Collapse

Just a month ago, tomato prices were around ₹40 per kg, raising hopes among farmers that debts could finally be cleared. However, prices have now plunged to ₹2 per kg — lower than transportation and harvesting costs.

Farmers who cultivated tomatoes with optimism are now struggling to recover even their basic investment.

Why Did Prices Fall?

Farmers cite multiple reasons:

Simultaneous sowing during November–December due to favorable conditions
Higher-than-expected yield (20 tonnes per acre instead of 15 tonnes)
Market glut due to surplus supply
Lack of cold storage and processing units

The oversupply has led to a sharp price crash in local markets.

Heavy Losses for Farmers

Farmers from Bobbili and surrounding villages are bringing produce to the Ramabhadrapuram market, one of the largest in the combined Vizianagaram district region.

Financial Breakdown Per Acre:

Cultivation cost (fertilizers, medicines, labour): ₹50,000
Expected income at current prices: ~₹35,000
Net loss: ₹15,000–₹20,000 per acre

This calculation does not even include the farmer’s personal labour.

Tomatoes Left to Rot

With:

Transportation charges
Basket costs
Loading expenses

exceeding the selling price, many farmers have stopped harvesting altogether. Some are leaving tomatoes to rot in fields because hiring labour is not economically viable.

Need for Government Intervention

While horticulture officials attribute the fall to simultaneous yield and market flooding, farmers say:

There is no price stabilization mechanism
Cold storage facilities are insufficient
Food processing infrastructure is lacking

Without minimum support or procurement intervention, farmers fear tomato cultivation may become unviable in the coming seasons.

Key Entities

Bobbili
Ramabhadrapuram
Vizianagaram district

Final Verdict

The crash in tomato prices to ₹2 per kg has pushed farmers in the Vizianagaram region into significant financial distress. With production costs far exceeding returns and no immediate market support, urgent policy intervention — including procurement, price stabilization, and infrastructure support — appears critical to prevent further agrarian losses.