Centre Focuses on Rising Onion Prices

Amid a rise in onion prices across the country, Union Agriculture Minister Shivraj Singh Chouhan has directed the Indian Council of Agricultural Research (ICAR) to explore ways to reduce the widening gap between the prices paid to farmers and retail prices paid by consumers. Chouhan said farmers in Maharashtra had already sold their produce at low prices and questioned why prices were rising despite limited stocks. The current model price of onions across India is around Rs.50 per kg, while rates are about Rs.53 in Punjab, Rs.55 in Delhi, Rs.60 in Chennai and Kolkata, and Rs.48 in Mumbai.

To control the price rise, the government has procured onions from farmers at Rs.15–20 per kg under the Market Intervention Scheme. It is preparing to sell onions to consumers in Delhi at Rs.35 per kg. Around 800 tonnes of buffer stock is expected to reach Delhi from Nashik through the Kanda Express. Onions will be sold directly to consumers through NAFED, NCCF, Kendriya Bhandar stores and mobile vans.