Retail prices rose as daily income from onions declined in the wholesale market

Mumbai, Ta. 10 February 2021, Wednesday

The red onion season in the country is now almost over and the new onion crop is yet to hit the market while onion prices are likely to go up in the near future. Onion revenue in Asia's largest Lasalgaon onion market has dropped by fifty per cent.

Onion income in Lasalgaon market has come down to 11,600 quintals against the daily average income of 5,000 to 2,000 quintals. Onion prices, which were hovering around Rs 500 per quintal at the end of January, are now hovering around Rs 200.

Retail prices of onions in Maharashtra's major markets are currently hovering between Rs 5 and Rs 20 per kg. In early January, unseasonal rains damaged the onion crop. However, there will be abundant availability of onions in the current season and there will be no shortage, said an official of the Maharashtra State Onion Growers' Association.

In October last year, the price of onion had reached around Rs 2,000 per quintal. However, the ban on onion exports and the price of imported onions came under control.

Two crop cycles of onion remain. The first harvest is from November to January and the second harvest is from January to May.

The Center has lifted the export ban on onions with effect from January 1, 2021. But exports have not increased significantly, as there is a huge demand for onions at home, which is why traders prefer to sell goods in the domestic market rather than export, he added.