IndianEra > Business > Onion Prices Continue to Rise in India, 400% Since March 2019

Onion tears among public is intensifying among with each passing day across India.

In a deep disappointment to the Indian kitchen, onion prices across the nation are growing by leaps and bounds, in the range of Rs. 80-160/kg even more at times.

While the average retail price was seen at Rs. 81.9/kg as of December 03, 2019, it has even gone beyond Rs 150/kg in many cities and towns.

Defying the reports that prices would come down after the arrival of fresh onion imports, the price per kg on December 10, 2019 was seen Rs. 100 for the second consecutive week.

Surprisingly, this price trend of Rs. 100/kg was observed in more than 114 cities, nation-wide! In places like Panaji, the prices went up to Rs. 165/kg, causing chaos among the general public.

Looking at the price trend, the onion prices saw a 400% hike after March 2019, the Minister of Consumer Affairs, Food and Public Distribution Ram Vilas Paswan informed in the Lower House on December 10, 2019.

Minister of Consumer Affairs, Food and Public Distribution Ram Vilas Paswan

And, they started climbing new highs since September and have been averaging at Rs. 100/kg since November 25, 2019.

Looking at the price per kg in prime locations, the onions are priced Rs. 96/- in Delhi, Rs. 102/- in Mumbai, Rs. 100/- in Chennai and Rs. 140/- in Kolkata.

It is much higher in South India at Rs. 150-160/-.

The continuous rise in onion prices has become the matter of national interest, as reported in instances of vegetable vendors and public indulging in wrong practices of black marketing and stealing from shops.

This steep rise in prices has been majorly attributed to the decline in domestic output, caused by excessive rains in Kharif.

Heavy rains have reportedly damaged crops in the leading onion-producing states of Karnataka and Maharashtra.

As part of immediate measures, the government imported onions in large volumes and has called for a ban on exports.

Recently on December 09, 2019, the government limited the stock holding limit to 2 tons from 5 tons for retail traders.

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Posted by IndianEra, 12/12/2019