India food prices surge amid rising costs of sugar and pulses

Rising food inflation in India is impacting household budgets ahead of the festive season, driven by significant price hikes in essential commodities like pulses and sugar.

Arhar (pigeon pea) prices have increased by an average of 26% to 27% in domestic markets over the past year. In some regions, such as Chennai, imported lemon tuar prices have surged by as much as 36.55%. This trend is attributed to limited domestic supply, reduced stocks from Myanmar and Africa, and low rainfall in major producing areas like Maharashtra and South India. Additionally, lentil (masur) prices are expected to rise due to a significant production drop in Canada, a major supplier to India.

Simultaneously, sugar prices have seen a sudden spike of 40% to 50% across the country. In Jaipur, sugar prices have risen from approximately ₹45 per kg to between ₹65 and ₹70 per kg. This surge has placed immense pressure on confectioners and sweet shop owners, leading to increased costs for sweets and related products like boora and batasha. Traders in Rajasthan have also pointed to local mandi taxes as a contributing factor to the rising costs.