Home-Cooked Thali Prices Rise in September on Costlier Onions and Oil

The cost of a home-cooked vegetarian thali rose 10% year-on-year in September, driven by higher prices for onions, edible oil, rice, and LPG according to Crisil Intelligence.

Costs and Drivers

The monthly Roti Rice Rate indicator showed that a vegetarian thali cost ₹30.8 in September compared to ₹28.1 a year earlier. A non-vegetarian thali increased 6% to ₹59.5 from ₹56. Crisil Intelligence director Pushan Sharma noted that food costs remained elevated due to tightening supplies of key staples and higher input costs. On a monthly basis, the vegetarian thali became 4% costlier while the non-vegetarian version rose 3%. Onion prices jumped 89% on-year to ₹53 a kg from ₹28, driven by tight rabi stocks and a 5-6% production decline. June rainfall was 40% below the long-period average, delaying kharif transplanting and fresh arrivals.

Other Staples

Vegetable oil prices rose 12% on-year even after a cut in the basic customs duty on crude palm oil from 10% to 5% in late September. Rice prices increased 8% on-year, with paddy production expected to fall 5-6% due to lower acreage and weaker yields. LPG prices stayed 10% higher because of global supply disruptions. The non-vegetarian thali saw a smaller price increase because broiler prices grew only 2% on-year due to lower chick placements, monsoon issues, and higher maize prices.

Context

Food inflation in India is often driven by seasonal weather patterns and crop yields that affect the supply of everyday kitchen staples like onions and edible oils. When farm output drops due to poor rain or delayed harvests, household food budgets feel an immediate squeeze.