The average wholesale onion price at the country's largest wholesale onion market at Lasalgaon Agriculture Produce Market Committee (APMC) continued to soar last Friday, recording the season's new high at Rs 1,800 (€22.68) per 100kgs.
The average wholesale onion prices have increased by almost 50% in just the past three weeks due to the demand outpacing the supply. Just on July 31, the average wholesale onion price was Rs 1,200 per 100kgs. In April, the average wholesale onion prices were in the range of Rs 572 to Rs 850 per 100kgs. According to APMC sources, the average wholesale onion prices may even touch Rs 2,000 per 100kgs in next few days. The previous high of Rs 1,800 per 100kgs was recorded in October, 2018.
In the retail market, onions are being sold for Rs 25 per kg. The recent hike in the wholesale onion prices is likely to reflect in retail market in next few days and the prices are expected to touch Rs 30 a kg.
"The produce arriving in the market are the summer onion crops, harvested in March and April. There will be no fresh harvest until October-end. The current arrivals are from the storages of farmers. At the moment, the farmers are busy with kharif activities and are not bringing the onions to the markets. Only those in need of money are bringing their produce for sale. This has led to a drop in supply," said an APMC official. "At the same time, demand for onions have increased. This has led to a rise in the average wholesale onion prices.”
The Union government had decided to create a buffer stock of onions in a bid to stabilise the wholesale onion prices and to deal with possible scarcity in August and September. The Centre had accordingly directed the National Agricultural Co-operative Marketing Federation of India Ltd (Nafed) to procure 50,000 tons of produce from the Maharashtra onion belts.
[ Rs 100 = €1.26 ]
