Centre Imposes Stock Limit on Onion Traders Till Dec 31, Other Nations Asked to Ramp Up Imports

Centre has imposed stock limit on onion wholesalers, retailers till December 31, sources told CNBC-TV18. The government is in talks with other nations to ramp up onion imports.

The kharif onions are likely to start arriving soon in mandis and the government hopes that an estimated kharif crop of 37 lakh tonnes is likely to boost supply and soften prices.

In a bid to cool down retail onion prices that are ruling over Rs 75 per kg in some places, the centre has stepped up efforts and asked states and union territories to take the kitchen staple from the central buffer stock for retail intervention. As per data maintained by the Consumer Affairs Ministry, retail onion prices in Mumbai were ruling at Rs 86/kg, Chennai at Rs 83/kg, Kolkata at Rs 70/kg and Delhi at Rs 55/kg on October 22.

Assam, Andhra Pradesh, Bihar, Chandigarh, Haryana, Telangana and Tamil Nadu have shown interest and taking a total of 8,000 tonnes of onion from the buffer, Consumer Affairs Secretary Leena Nandan said, adding that the ministry is awaiting response from other states. The centre is offering onion from the buffer stock stored at Nashik, Maharasthra, at the procured rate of Rs 26-28 per kg to states who wish to lift the stock on their own. For others who want it to be delivered, the offered price would be Rs 30 per kg, she added.