Onion Prices Skyrocket Once Again, Retail Rates Near Rs 100-Mark In Many States

After prices of tomatoes skyrocketed to a meteoric high last month, the prices of onions will leave consumers teary-eyed. Latest trend in vegetable markets across some Indian states shows that the prices of onions are nearing Rs 100-mark. “The prices of onions have increased to Rs 70-80 per kg from Rs 40-50 per kg following recent rains that damaged the crop. Prices may come down after 10-15 days,” a vegetable vendor in Uttar Pradesh’s Prayagraj was quoted as saying. Same is the case in Chandigarh. “"Price of onion has increased from Rs 50 per kg to Rs 80 per kg. It was Rs 70 per kg yesterday, today it has become Rs 80 per kg. There is a supply crunch as rains have destroyed the crop," a vendor said.

Last month, the retail price of tomatoes shot up to Rs 80 per kilogram in the national capital due to supply disruption caused by heavy rains in key growing states, including Karnataka. The retail price of tomatoes in other metropolitan cities was also ruling high. Tomato was quoted at Rs 60 per kg in Kolkata, Rs 54 per kg in Mumbai and Rs 40 per kg in Chennai, as per the government data.

Meanwhile, the government has allowed exports of the Bangalore rose variety of onion with certain conditions until November 30, giving relief to the producers of this specific commodity in Karnataka. The onion variety has been exempted from an export ban imposed by the government in September on all varieties to arrest the spike in prices of the kitchen staple. "Export of Bangalore rose onion, up to a quantity of 9,000 tonne has been allowed for the period up to November 30 this year," the Directorate General of Foreign Trade (DGFT) said in a notification. Bangalore rose onion is mainly grown in Chikballapur and Kolar districts. It is grown in about 23,000 hectares with production of 4.40 lakh tonne. These onions are small in size and deep rose/pink colour. These are mainly exported to Sri Lanka, Malaysia and other South East Asia.   

(With agency inputs)