Central Govt. takes key decisions to curb rise in prices of Onions

Speed Post News Network

New Delhi : The Central Government on September 24, 2019, took several key decisions to curb rise in prices of Onions. The States have been requested to utilise a stock of 35,000 ton available with the Central Government for direct retailing to ease the pressure on prices. Communication in this regard was sent to the State Governments asking them to indicate their requirement from the Central Buffer. Till date, 5 States namely, Haryana, Andhra Pradesh, Delhi, Tripura, and Odisha have demanded Onions from this stock.

The NAFED which holds the Central Buffer on behalf of Union Government, has been directed to distribute Onions in Delhi through stores of Safal, Mother dairy, NCCF, and its own outlets at a fixed rate of not more than Rs 24 per kilo. The Central Government also offered the Delhi Government, Onions from its Buffer stocks for direct retailing through its channels at similar rates. This would increase the total number of distribution centres across Delhi to about 700 outlets.

The Kharif crop of Onion from Karnataka has already started arriving in the market and this will ease the pressure on supply from Maharashtra as well as prices in adjoining regions. There is sufficient stock of Onions in Maharashtra to meet the current demand. However, supplies are seemingly being restrained to increase prices.

The Government is taking all measures to improve these supplies and from Central buffer to mitigate any such shortfall in availability and will also consider imposing stock limit if prices do not moderate on account of speculative behaviour of traders, according to a PIB release. The MMTC has also been directed to float a tender for import of Onions to meet any short fall in availability.

The reported export below Minimum Export Price to Bangladesh and Sri Lanka will be immediately stopped and strict action will be initiated against those found to be violating this decision of the government.