Why Dosa price never goes down?

An year ago I read an article that gives perfect example of Inflation rates. I thought it should be shared with you all..

Former RBI Governor Raghuram Rajan once visited an engineering college for a federal bank event in Cochin.

In the event, an engineering student asked, “Why does the humble Dosa — the South Indian dish loved by all — continue to cost high when RBI is claiming a victory over inflation?”

“In real life, when inflation rates go up, Dosa prices go up, but when inflation rates are lower, the Dosa prices are not lowered. What is happening to our beloved Dosa, sir?”

Governor Raghuram Rajan blames lack of technology upgrades from its traditional ‘Tawa’ preparation and high wages of the person making it!

“The technology for making Dosas hasn’t actually changed. Till today that person puts it (Dosa batter) on the tawa, spreads it around and then takes it out, right? There has been no technological improvement there. However, the wages that you are paying to that gentleman, especially in a high-wage sort of state like Kerala, are going up all the time,” Dr. Rajan said.

Dr. Rajan also said that the workers can be used in many productive areas where productivity has gone up such as factory works, banking where today that same bank clerks service many more people because of technology.

“So, what happens is that in an economy which is growing and when there are sectors which are improving technologically while other sectors are not improving their technology, the prices for the goods manufactured by sectors, that are not improving their technology, will go up faster.”

40 thoughts on “Why Dosa price never goes down?

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  1. Though I’ve been to Indian restaurants a lot and still I wonder if I ever taste dosa yet…
    I feel like it’s the same for everything we consumes. It’s goes up but never back down. The reasoning sounds like excuses to me.

    Liked by 2 people

      1. I’ve never been to India (in case that’s what you meant by “here”) but when I’m in an Indian restaurant, I don’t think I paid any attention even if I saw Dosa on the menu haha 😀 next I’ll definitely ask for it.

        Liked by 4 people

  2. Dosa are worth any price!
    I went to a jazz festival on the weekend and a stall advertising south Indian food had only northern food on their menu … when I requested dosa [my favourite] they looked blank … probably born in Australia and never even been to southern India, imposters 😦

    Liked by 2 people

    1. That’s right worth of any price…. Dosa is the my favorite food for breakfast for its crispiness.
      Haha people of course would be blank when a non Indian asks for Dosa.
      Have to been to India..?

      Liked by 2 people

  3. Loved the way a simple Dosa or the golden disk as they call it had so much to teach about the inflation. And applause to the student who innocently asked the question to the then RBI Governor.
    Good share as ever….👍

    Liked by 2 people

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