The government has taken several steps amidst the concern of onion inflation. The government has increased the buffer stock limit of onions from 300,000 tonnes to 500,000 tonnes. In addition, 40 per cent export duty has been imposed on the export of onions. Along with this, it has also been decided to provide onions at Rs 25 per kg to the people.
impact of onion prices
The retail price of onion in the country has shot up to Rs 30 per kg on Sunday, which is 19 per cent higher than last year. The retail price of onion in Delhi has reached Rs 37, which was Rs 28 on the same day last year.
Effect of imposition of duty on export of onions
Traders are happy with the imposition of 40 per cent duty on onion exports. This can bring control over onion prices and reduce its prices.
Onion Supply Status
Onions are supplied to Azadpur Sabzi Mandi from Rajasthan, Maharashtra, Madhya Pradesh and Gujarat. Every day 62 to 70 vehicles come to the mandi, carrying 15 to 25 tonnes of onions.
opinion of farmers
According to Srikant Mishra, president of the Onion Traders Association, the wholesale prices of onions imported from other states have gone up. The wholesale price of onion in the market has reached Rs 20 to 30 per kg, while onion is being sold at Rs 40 to 45 per kg in the retail market.
Government steps and future expectation
The Central Government organization NCCF (National Cooperative Consumer Federation) will make onions available at Rs 25 per kg. According to the traders, along with this retail sale of onions will also be started, due to which onion prices can be controlled.
fear over the impact of exports
However, traders fear that the imposition of 40 per cent duty on onion exports could result in a 50 per cent drop in its exports. Maharashtra accounts for about 90 per cent of the country’s onion exports. Nashik accounts for 70 per cent of the exports.
hope for the future
The finance ministry is hopeful that the arrival of new crops in the market will bring down the prices of vegetables from next month. This shows hope that onion prices may improve in the coming times.
Some farmers have staged a protest against the 40 per cent duty on the export of this onion, which makes it clear that they are not happy with the decision.