The worst is over: as mandi arrivals across Maharashtra increase, onion prices in most parts of the country are steadily going down. After a weeklong furore over “spiraling prices”, in Delhi, arrivals have gone up from 7000 quintals on February 5 to 11,210 quintals on February 14. Average wholesale prices have dropped from Rs 1200 per quintal to Rs 400 per quintal. Prices are going down below Rs 20 per kg.
Supplies fell earlier in the month but the retailers continued to maintain their margins, pushing up prices. “We have to earn at least Rs 1-2 per kilogram if we have to survive,” says Delhi vendor Manohar Pundit. “Customers choose the best onions when they buy a couple of kilograms but we get it in bulk so we have a lot of wastage. Apart from that, we also have to pay for the transportation and labour involved in getting them till the market.”
“We have started bringing the stock by train to reduce cost. And in the next few days, when the produce from Rajasthan starts coming in, the prices will go down sharply,” says trader Hansraj Ashok Kumar. Just outside the mandi, the average rate at the Chaudhary Hiralal Fruits and Vegetables Market in Azadpur is Rs 13 per kg.
All through the new year, onion prices have been rising despite arrivals in Maharashtra and Gujarat. A combination of factors brought the spotlight back on the onion, promptly renewing demands for a ban on exports and fair price shops.
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