The drought in Maharashtra has hit the onion crop, with retail prices touching around Rs30 per kg in Mumbai.
The situation is likely to ease only after March when summer crop enters the market. “The drought has led to a 30% to 40% decline in production,” said Nandakumar Daga, director of Nashik’s Lasalgaon agriculture produce market committee, the largest market for onions in India.
He added that wholesale prices of late kharif onions had risen from Rs1,600 to 1,800 last week to about Rs2,200 to Rs2,300 late last week.
“Rates will be high till March and will reduce when the summer crop (unhali kanda) enters the market,” said Changdeorao Holkar, director, National Agricultural Cooperative Marketing Federation of India.