Odisha Considers Punjab for Potato Procurement Amid Supply Disruptions
This article discusses Odisha's strategic shift in potato procurement due to supply disruptions from West Bengal. The state is considering Punjab as a potential new source while addressing challenges with existing suppliers and exploring measures to stabilize the market and manage price volatility.
State Shifts Focus to New Suppliers Following West Bengal Import Halt
In response to recent disruptions in potato supplies from West Bengal, the Odisha government is exploring alternative procurement sources, including Punjab, to stabilize the local market. The interruption in supplies from West Bengal, attributed to a strike and allegations of extortion by local authorities, has led to significant price fluctuations for potatoes in Odisha.
The supply chain issue caused a sharp increase in potato prices within Odisha, with prices in markets such as Bhubaneswar and Cuttack rising to Rs 60 per kilogram. Although prices later dropped to Rs 35 per kilogram after sourcing from Uttar Pradesh, they surged again to Rs 50 per kilogram due to reduced stock levels and ongoing problems with West Bengal supplies.
Odisha’s shift to Uttar Pradesh has faced its own challenges, including concerns about potential damage to potatoes from rain and high transportation costs. To address these issues, the Odisha government is considering support measures such as transportation subsidies and bulk procurement through railways. Additionally, the state’s cold storage facilities, with a capacity of up to 10,000 tonnes, are being utilized to help manage price volatility.
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To further secure a stable potato supply, the Odisha government is now evaluating the possibility of procuring potatoes from Punjab. The Food Supplies and Consumer Welfare Minister of Odisha has indicated that procurement from Punjab is a viable option if necessary to prevent future price spikes and ensure consistent availability of the commodity.
These measures are part of a broader strategy to diversify Odisha’s potato procurement sources and mitigate the impact of supply disruptions on market prices. By exploring new suppliers and leveraging existing infrastructure, the state aims to stabilize the potato market and protect consumers from volatile price fluctuations.
