Right now, stored onions are sold in most parts of the country and fresh kharif (summer) crop will hit the market from November onwards, traders said
The Hush Post| 2:55 pm|one-minute-read|
The onion prices have touched the roof. As a result, the Centre is considering imposing stock limits on onion traders as the retail prices of the key kitchen staple have shot up to Rs 80 per kg in the national capital. The prices are no different in parts of the country.
The Met Department has said the main onion producing regions especially Maharasthra, Karnataka, Andhra Pradesh, Gujarat, eastern Rajasthan and western Madhya Pradesh have received excess monsoon rainfalls in the last two days. Right now, stored onions are sold in most parts of the country and fresh kharif (summer) crop will hit the market from November onwards, traders said.
As per a news report, the data maintained by the consumer affairs ministry, retail onion prices rose to Rs 57/kg in Delhi, Rs 56/kg in Mumbai, Rs 48/kg in Kolkata and Rs 34/kg in Chennai last week. The prices were quoted at Rs 60/kg in Gurgoan and Jammu during the same period.
However, trade data showed retail onion prices skyrocketing to Rs 70-80 per kg towards the end of the last week.
Onion prices are on the rise despite several measures taken by the central government to boost supply.
It is a short-term supply disruption and if the situation does not normalise in the next 2-3 days and prices rise, then the government may consider seriously imposing stock holding limits on onion traders, the source said.
Traders further said that there is enough supply of stored onion of the previous year’s crop in the country but its transportation has been affected because of heavy rains.
The centre has a buffer stock of 56,000 tonnes of onion, of which 16,000 tonnes has been offloaded so far. In Delhi, 200 tonnes a day is being offloaded.
Besides, the Centre has discouraged export of onion by increasing the minimum export price and withdrawing incentives. It is also cracking down on black marketers.
Besides rains, prices are under pressure on likely fall in kharif production of this year owing to less planted area under onion on account of excess rains.