Pay Rs 50/kg for onions

PUNE: Onion prices have surged again in Maharashtra due to depleting stocks after declining by 25% last week following government pressure. However, prices have slightly cooled down in Delhi as it is getting new onion crop from Rajasthan.

Retail customers still shell out Rs 50-60/kg in most metro cities.

Traders say it is the shortage of the bulb and not speculation at play this time and prices are expected to cool down by mid-December.

“Prices have increased in Maharashtra because old stock is getting over fast, while the new crop coming to the market is not of good quality,” said Ajit Shah, president, Onion Exporters Association of India.

After hitting a month’s high of Rs 29/kg in October, average wholesale prices declined to Rs 22/kg last week as the government initiated various measures.

Traders said the government had called and “asked” them to keep prices stable. However, wholesale prices at the benchmark Lasalgaon APMC hit Rs 30/kg on Thursday.

Jayadatta Holkar, chairman, Lasalgaon APMC, said prices were rising due to depleting stocks. In Delhi, wholesale prices are lower as they have started getting 60 trucks of new crop from Rajasthan daily.

“The Rajasthan crop has helped to slightly cool down prices. But even the Rajasthan crop is smaller this year as farmers have shifted to cotton,” said Surinder Bhuddhiraja, president, Onion Traders Association of the Azadpur APMC in Delhi. Arrival of new crop from Maharashtra and Gujarat will increase from the second half of November.