In a bid to maintain the availability of onions in the domestic market, the Government of India recently imposed a Minimum Export Price of USD 800/ton on onions, effective from October 29, 2023, until December 31, 2023. This move, designed to discourage exports, has demonstrated an immediate impact on onion prices in Maharashtra markets.
Price correction in the Maharashtra onion markets was evident, with prices declining by 5% to 9% from the highest rates recorded during the preceding week. The weighted average onion price across all markets in Maharashtra has registered a notable decrease of 4.5%, a trend similarly observed in consumption centers.
The Department of Consumer Affairs is closely monitoring both onion exports and prices on a daily basis, ensuring stability in domestic prices and availability to consumers. As demand for onions is expected to rise in November, the department has initiated the release of onion buffer stocks into the market through mandi sales and discounted offerings to retail consumers, particularly in areas with high prices. This initiative encompasses retail sales through 685 mobile retail outlets, covering over 170 cities.
Additionally, the National Agricultural Cooperative Marketing Federation of India (NAFED) and the National Cooperative Consumers’ Federation (NCCF) have commenced the procurement of an additional 2 lakh metric tonnes of onions from the kharif harvest. This procurement will be distributed in high-priced centers, further ensuring that onion prices remain under control and consumers’ interests are protected. The government remains committed to managing onion prices to ensure affordability and accessibility for all consumers.