Onion prices have witnessed a steep rise in the past 10 days owing to short supply in wholesale market. The onion season is almost over and fresh arrivals are quite low at this point of time. “The onion prices have increased due to lower supplies at the Kalamna wholesale market,” said Jaiprakash Vasani, former President of Kanda Batata Bazar Adtiya Welfare Association, Nagpur, while speaking to The Hitavada. Aaprt from this, another factor for the rise in prices is that farmers and traders have stocked large quantities in cold storage as they expect better prices in the near future. Also, the Government had earlier announced that it will start purchasing onions in large quantities.
Traders are holding their stock in anticipation that prices would go up further when the Government starts its purchases. Governments decision to start purchases could come by early next month. Government makes purchases to stabilse the prices and to meet any short fall, Vasani said. In the wholesale market the onion prices were quoted at Rs 10 to Rs 13 per kilo compared to Rs 7.50 per kilo to Rs 10 per kilo, depending on the quality, Vasani pointed out.