The government has stepped up efforts to curb onion prices by increasing sales from its buffer stock in the wholesale markets, given the surge in retail prices after the recent removal of export duty. On Monday, consumer Affairs Secretary Nidhi Khare said that the Center has started releasing onions from its buffer stock in the wholesale markets of Delhi and other major cities. The government plans to retail subsidized onions across the country. Ten days ago, the government removed the minimum export price of $550 per tonne of onions.
Khare said, “We expected a price surge after removing export duty. With a buffer stock of 4.7 lakh tonnes and increased area for Kharif sowing, we hope that onion prices will remain under control.” The government plans to increase retail sales of onions at a subsidized rate of Rs 35 per kg across India. In this, more focus is being given to cities with higher prices than the national average.
According to official data, the retail price of onion in Delhi was Rs 55 per kg on September 22, up from Rs 38 per kg in the same period a year ago. Prices in Mumbai and Chennai have touched Rs 58 and Rs 60 per kg, respectively. The government has sold onion at Rs 35 per kg since September 5 through mobile vans and shops of the National Cooperative Consumers Federation of India (NCCF) and National Agricultural Cooperative Marketing Federation of India (NAFED) in Delhi and other state capitals.
Edible Oil Prices Rise After Import Duty Hike
Regarding edible oils, he acknowledged the recent price hike following the import duty hike and said the move was taken to protect domestic farmers. The government had raised import duty on crude palm oil by 20 per cent and processed sunflower oil by 32.5 per cent to support domestic oilseed farmers and processors.
Khare said the government will monitor trends and intervene if needed on tomatoes. With domestic tur and urad production remaining good and pulse imports rising, Kharge expects stable pulse prices in the coming months.
