Union Budget 2024: How The New Budget Affects Your Daily Grocery Bill

New Delhi – Finance Minister Nirmala Sitharaman’s Union Budget 2024, unveiled on July 23, has sparked significant discussions regarding its impact on the economy, particularly on food prices. With a substantial allocation of ₹1.50 lakh crore for agriculture and a focus on climate-resilient farming practices, the budget aims to address various economic challenges while promising support to the rural economy.

In the food and agriculture sector, the Finance Minister announced a major allocation of ₹1.50 lakh crore. This investment focuses on enhancing productivity and developing climate-resilient seed and crop varieties. Sitharaman highlighted, “New 109 high-yielding and climate-resilient varieties of 32 field and horticulture crops will be released for farmers. Over the next 2 years, one crore farmers will be introduced to natural farming, supported by certification and branding. The ₹1.52 lakh crore allocated for agriculture could also boost rural demand for automobiles—particularly entry-level two-wheelers and tractors.”

Also Read: Union Budget 2024: Nirmala Sitharaman Allocates ₹ 1.50 Lakh Crore To Agriculture, Slashes Food Subsidies

According to the Economic Survey 2024, food grain production last year saw a “slight” decline due to poor and delayed monsoons. While this year’s budget may offer some relief, food and fertiliser subsidies have decreased. The food subsidy budget is projected at ₹2,05,250 crore, marking a 3.34% reduction from the revised estimates for FY 2024. Additionally, the fertiliser subsidy has been reduced to ₹1,64,000 crore, down by ₹1 lakh crore, or 13.18% compared to the actual expenditure in FY 2022-23.

According to the data posted on the official website of the Department of Consumer Affairs on July 23, 2024, here are the prices of daily commodities that have changed since the budget was announced.

Pulses

The retail price of gram dal, a staple in many households, has risen slightly to ₹84.43 per kilogram as of July 23, reflecting a 1.03% increase from last month’s ₹83.57. Other pulses have experienced a range of price changes, with increases between 0.85% and a significant 22.84% across different varieties.

Edible Oils

Prices for major edible oils, including groundnut, mustard, and sunflower, have shown minimal changes overall. However, significant local variations have been noted, particularly in major cities like Mumbai and Delhi. 

Cereals and Sugar

Prices for cereals and sugar have largely remained stable, with only minor fluctuations reported. In major cities, the cost of rice, wheat, and atta has not shown significant deviation, while sugar prices have also been consistent.

Vegetables

The vegetable market has seen a sharp increase in prices. Potatoes, which were priced at ₹23.30 per kilogram last year, now average ₹37.86. Similarly, onions have risen from ₹25.99 to ₹44.27 per kilogram. Tomatoes’ prices have seen a slight decline in Delhi and Mumbai, yet remain high overall.