With onions now more expensive than some exotic vegetables and fruits, including apple, grapes, gooseberry and orange (imported) across India, the Ministry of Consumer Affairs on Friday imposed a stock limit of two tonnes for retailers and 25 tonnes for wholesalers till December 31 to improve the domestic availability of the commodity and provide relief to consumers. The Ministry has also supplied 35,000 metric tonnes of onion to State and Union Territories to maintain certain stability in prices.
Despite a ban on export, onion prices have seen a sharp rise over the last few days with staple vegetable now retailing for Rs 100-110 per kg in Hyderabad, Mumbai, Nashik, Pune, Adilabad, Bengaluru, Pallakad, Puducherry, Suryapet, Thrissur, Panaji, Kota, Chennai, Cuddalore, Dharwad and Kozhikode. In Thiruvananthapuram, Jammu, Srinagar, Ludhiana, onions are at Rs 90 per kg. Besides, the prices of potato touched Rs 50 a kg while tomato is selling at Rs 70-80 a kg across metros.
Consumer Affairs Department Secretary Leena Nandan on Friday said that retailers can stock onion only up to 2 tonne, whereas wholesale traders are allowed to keep up to 25 tonne till December 31. She said the Government had to invoke the Essential Commodities (Amendment) law — which was passed last month in Parliament — that allows it to regulate perishable commodities in the extraordinary price rise situation.
Assam, Andhra Pradesh, Bihar, Chandigarh, Haryana, Telangana and Tamil Nadu have shown interest and taking a total of 8,000 tonnes of onion from the buffer she said, adding that the Ministry is awaiting response from other States.
According to Sudhanshu Pandey, Secretary, Department of Food and Public Distribution, there has been an increase in the price of onion due to rainfall in Maharashtra, Madhya Pradesh and Karnataka. “The All India average retail price variation of onions as on October 21, when compared to last year is 22.12 % (from Rs 45.33 to Rs 55.60 per/Kg) and when compared to last 5 years average is 114.96 % (from Rs 25.87 to 55.60 per/ Kg). Therefore, the prices have increased by more than 100% when compared with average of last 5 years,” he said.
According to the data of Ministry of Consumer Affairs, the maximum price of onion is at Rs 100 per kg while the minimum rate is quoted at Rs 25 per kg and the model price is estimated at Rs 70 per kg. The Ministry has asked States and Union Territories to take onion from it buffer stock for retail intervention.
The centre is offering onion from the buffer stock stored at Nashik, Maharasthra, at the procured rate of Rs 26-28 per kg to States who wish to lift the stock on their own. For others who want it to be delivered, the offered price would be Rs 30 per kg. Besides this, cooperative Nafed, which is procuring and maintaining the onion buffer stock on behalf of the Government, is offloading the stock in wholesale mandis across the country.
The wholesale and retail prices have increased in markets across the country. Nashik cultivates 60 per cent of Maharashtra’s onions and the Lasalgaon agriculture produce market committee (APMC) is the largest wholesale onion market in India. Heavy rainfall damaged the new kharif onions to a large extent and the new kharif crop is expected to arrive by mid-November. Heavy rainfall has affected onion supply which has resulted in price hike.
People in the business have said that onion prices may go up as high as Rs 120 per kg as its production has been affected in most of the key States. This is likely to continue till February net year till the new crop season arrives.
The prices of seasonal fruits such as apple, grapes, gooseberry, guava and orange (imported) are below Rs 100 per kg across India. A good quality apple, guava is availalbe at Rs 50-60 a kg while grapes, gooseberry and orange (imported) are selling at Rs 70-80 per kg. Besides, prices of potato and tomato also spiked in the past few days. The retail price of potato is at Rs 50 per kg while tomato is at Rs 70-80 per kg due to short supply.
