McDonald's temporarily removed tomatoes from its products due to tomato price hike

McDonald's India - North and East announced on Friday that it would temporarily remove tomatoes from its menu due to procurement challenges caused by seasonal issues. In a statement released on July 7, the spokesperson for McDonald's India - North and East explained that the fast food chain was unable to source tomatoes that met their stringent quality standards.

The statement emphasized McDonald's commitment to food quality and safety, stating that despite their best efforts, they were currently unable to procure tomatoes that passed their rigorous checks. As a result, tomatoes would be unavailable in menu items at some McDonald's restaurants in the region. However, the company assured customers that this was a temporary issue and they were actively exploring solutions to reintroduce tomatoes to the menu soon.

To address the rising cost of tomatoes, various state governments have taken action. In West Bengal, the government led by Mamata Banerjee has directed its retail network, Sufal Bangala, to offer tomatoes at a fair price of Rs 115 per kg. Similarly, the Tamil Nadu government is working to sell tomatoes at a subsidized rate of Rs 60 per kg through fair price shops.

The increase in vegetable prices can be attributed to multiple factors, including extreme heatwaves in key tomato-growing regions and disruptions in the supply chain caused by heavy rainfall. Additionally, the relatively short shelf life of tomatoes has further impacted their prices.

Aditya Saha, a SEBI Registered Investment Adviser, highlighted the situation by tweeting about a notice at a McDonald's outlet in Delhi, which humorously stated that even McDonald's couldn't afford tomatoes at the moment.

Overall, McDonald's India - North and East's decision to temporarily remove tomatoes from their menu reflects the challenges posed by seasonal issues and their commitment to maintaining high food quality standards.