Fuel Price Hike May Push Up Vegetable and Grocery Prices in Chennai
The recent diesel price hike is expected to increase the cost of vegetables and essential commodities across Chennai, as transporters and traders warn of rising freight charges affecting both local and long-distance goods movement.
According to wholesale traders at Koyambedu Wholesale Market Complex, transport operators have already started revising freight rates due to higher fuel expenses. Traders say even short-distance deliveries within the city are becoming more expensive.
SS Muthukumar, president of the Koyambedu Vegetable Merchants Association, said a trip that earlier cost around ₹1,000 from Koyambedu to Kolathur is now being charged close to ₹1,300. He added that long-distance transport costs could push vegetable prices higher by ₹3 to ₹5 per kilogram in the coming days.
Essential commodities such as rice, pulses, chilli, coriander, and edible oils are also likely to witness price increases if diesel prices continue to remain high. Traders explained that any increase in freight charges directly affects wholesale and retail market prices.
Transporting a 20-tonne load from Maharashtra to Chennai, which earlier cost around ₹1.1 lakh, may now rise to nearly ₹1.3 lakh. Apart from fuel expenses, transporters are also facing higher costs for driver wages, food allowances, toll charges, insurance premiums, and spare parts.
Transport operators said the impact would be most severe on commodities arriving from neighbouring states like Karnataka and Maharashtra. S Yuvaraj, president of the Tamil Nadu State Sand Lorry Owners Federation, said freight charges from Karnataka to Chennai could increase by another ₹5,000 following the diesel price revision.
Industry representatives noted that diesel contributes nearly 60% of operating expenses for many heavy vehicles, making it difficult for transport operators to absorb repeated fuel price hikes. While long-distance freight operators are expected to revise charges immediately, many small transporters handling city deliveries are struggling to balance rising expenses with customer expectations.
Meanwhile, transport associations and lorry owners across Tamil Nadu have urged the Union Government to roll back the fuel price increase. They warned that continued hikes would place additional financial pressure on the already stressed transport sector and eventually increase the retail prices of essential goods for consumers.
Industry bodies also indicated that the All India Motor Transport Congress may stage protests in June over fuel prices, toll charges, and other transport-related issues.
