Food Prices Drop: Cheaper Veg and Non-Veg Meals in August 2024
In August 2024, the cost of both vegetarian and non-vegetarian meals in India saw a significant drop compared to the previous year and month, according to a report by CRISIL MI&A Research.
Vegetarian Thalis
The cost of a home-cooked vegetarian thali declined by 8% year-over-year. This reduction was mainly due to a dramatic 51% drop in tomato prices, which fell from Rs 102 per kg in August 2023 to Rs 50 per kg in August 2024. Tomatoes made up 14% of the cost of a vegetarian thali. Additionally, a 27% drop in LPG prices also contributed to the lower costs. The price of a 14.2 kg LPG cylinder in Delhi decreased from Rs 1,103 in August 2023 to Rs 803 in March 2024. Prices of vegetable oil, chilli, and cumin, which together account for less than 5% of the veg thali cost, also eased, falling by 6%, 30%, and 58%, respectively.
Non-Vegetarian Thalis
The cost of non-vegetarian thalis saw a 12% drop, primarily due to a 13% year-on-year decrease in broiler chicken prices, which make up about 50% of the total cost. However, the decline in thali costs was partially capped by an increase in the prices of onions and potatoes, which rose by Rs 15 per kg and Rs 13 per kg, respectively, due to lower arrivals from the rabi harvest.
Monthly Changes
On a monthly basis, the cost of a vegetarian thali dropped by 4%, while non-vegetarian thalis saw a 3% decrease. The month-on-month decline was driven by a 23% fall in tomato prices, which dropped from Rs 66 per kg in July 2024 to Rs 50 per kg in August 2024. For non-vegetarian thalis, the lower costs were also linked to a 1-3% drop in broiler chicken prices due to reduced non-veg consumption during the Shravan month in August. However, the monthly increase in potato and onion prices by 2% and 3%, respectively, prevented a steeper decline in thali costs.
Doubts Revealed
Vegetarian thalis -: A vegetarian thali is a meal that includes various vegetarian dishes served on a single plate. It usually has rice, chapati, vegetables, dal (lentils), and sometimes sweets.
Non-vegetarian thalis -: A non-vegetarian thali is similar to a vegetarian thali but includes meat or fish dishes along with the other items like rice, chapati, and vegetables.
Broiler chicken -: Broiler chicken is a type of chicken that is raised specifically for meat production. It grows faster and has more meat compared to other types of chickens.
LPG -: LPG stands for Liquefied Petroleum Gas. It is a type of gas used for cooking in many homes in India. Lower LPG prices mean it costs less to cook food.
Vegetable oil -: Vegetable oil is oil extracted from plants, used for cooking and frying food. Common types include sunflower oil, mustard oil, and soybean oil.
Chilli -: Chilli is a spice that adds heat and flavor to food. It is commonly used in Indian cooking to make dishes spicy.
Cumin -: Cumin is a spice made from the seeds of the cumin plant. It is used in many Indian dishes to add a warm, earthy flavor.
Onion and potato prices -: Onions and potatoes are common vegetables used in many Indian dishes. When their prices go up, it can make meals more expensive.
