Rotten Tomatoes

Link to Article in Republica National Daily

The large scale of tomato crushing in Kalimati, Kathmandu few days back was unpleasant, whatever its reason. In a context when most farmers are at subsistence level, throwing tomatoes in the streets by some commercial farmers should not be overlooked. Prompt response as well as long-term strategies to address this problem is needed.

Nepali agriculture as a whole has witnessed sluggish growth in the past, vegetables being the exception. We have produced vegetables by large numbers and are being self-sufficient. Total vegetable production has increased by more than two times in the last decade only. Now, vegetables are major part of our daily staples and food diversity has considerably grown.

Tomato, however, has a bitter story. It is widely grown and is a promising vegetable in Nepal. Thanks to latest technology, either it may be initiation of tunnel farming or introduction of new varieties, mostly hybrids; tomatoes have seen a surge in production. Farmers’ initiation and support from agriculture technicians also have played vital role in this. The nature of tomato crop and its suitability to our climate is also a prominent reason behind this. Tomato is one of the best alternatives for those who want to have crops with high demand and good market price throughout the year.

Due to many such reasons, the area and production of tomato is increasing in Nepal. Tomato is grown in about 20,000 hectares of land. In the last four years, the area of tomato farming has increased by about 27 percent and production by 24 percent. (See chart .) This trend is expected to remain the same in the future.

There is a long history of exporting tomatoes to India. But now Nepali tomatoes have lost their quality as they are laced with pesticide residues. These tomatoes have failed to meet the sanitary and phytosanitary measures imposed by the World Trade Organization (WTO) which has made them difficult to export. Given such condition, farmers have resorted to theatrics by crushing their low-quality tomatoes in the name of lack of sales.

Delayed monsoon has resulted in insignificantly low loss in tomato, especially in Kathmandu periphery. Tomatoes have overflowed the market. Due to inverse relationship between quantity and price, the latter is remarkably low this year compared to previous years. While tomato price is stagnant in Nepal it is skyrocketing in India. Production cost is low in India (due to input subsidies and low labor price) while the product price is high here. Therefore, it is viable to export our products to India but it is most often cumbersome and unregulated.

Years	2010	2011	2012	2013
Area (ha)	15609	16702	16416	19728
Production (Mt)	242018	259189	282481	298594

Source: Statistical Information on Nepalese Agriculture (MoAD)

Improper market management has a long history in all major agriculture markets of Nepal. Both the government and privately managed markets are underperforming due to ignorance, conflict of interest and lack of proper regulation. The capacity of our wholesale market has not increased as per the demand. Given this, tomato-dumping happens and will continue if proper market facility is not developed. On top of that, proper storage facilities and post harvest industries are lacking here. We do not have facility to store or immediately process our excessive products. Tomatoes, which could be part of our dish as a pickle, vegetable or any processed product like ketchup, had to be dumped in the Kalimati streets.

The remedy to the problem is maintaining quality of our product. Mostly the pesticide residue has become a major concern of any importing nation. Therefore, both discouraging to use chemical pesticides and providing facility to test the quality of products should go side by side. Recently, a Rapid Pesticide Residue Testing Lab was established in Kalimati market. This has to be replicated in major exporting hubs of Nepal.

Vegetable demand has grown considerably due to growing population and increased consumption. Currently, agriculture market has become congested due to rapid urbanization and distance to the market has increased for the consumers. This demands more markets to absorb more products. Similarly, Kalimati market which was outside core urban area is now in the center of the city and its expansion is almost impossible. If it is modernized in the form of a multistory building with proper parking facility, it can still work but this requires huge investment. Nonetheless, modernization and proper market management is needed.

I disagree with the argument that the government has to negotiate with its Indian counterpart with regard to quality of products. However, if quarantine certificate has to be obtained from distant cities like Lucknow and there are difficulties in export/import, the two governments can have a talk. Likewise, promotion of all farmers and protection of large farmers will be a better option ahead to keep farmers encouraged. Some extra facilities have to be increased for commercial farmers.

The problem lies with farmers’ inability to hold their products. Agricultural products are high volume low value products and mostly perishable in nature. Therefore, if proper storage facilities are developed or more agribusiness industries established, Kalimati cases will not recur. The farmers’ aggression against the government is justifiable. The government has to protect the commercial farmers. Proper marketing as well as storage and processing facilities are needed. But farmers also have to maintain exportable quality to earn higher profit from their products.