Remove minimum export price of onions: Farmers

PUNE: Farm-gate onion prices fell below the psychological mark of Rs 10 per kg on Sunday across prominent markets in top producer Maharashtra. The downward spiral has led to widespread unrest among farmers in Nashik and Satara districts, who said the government which fought for consumers when prices rose was not helping farmers when they fell.

Nashik farmers have decided to keep the market closed from December 16 if the union government does not remove the minimum export price (MEP) limit which hinders exports. Exactly a month ago, farm-gate prices were Rs 30 per kg in Lasalgaon. Prices fell by Rs 5 per kg within a week in Nashik district. Average wholesale prices fell to Rs 11 per kg on Friday, while the market remained closed on Saturday and Sunday. Market prices plunged below Rs 10 per kg at Ahmednagar, Pune, Solapur and other major markets in the state. Farmers stopped auctions on three days last week at Lasalgaon, the largest APMC for onion trade in South Asia. Farmers suspended trade at the Lonand APMC in Satara on Friday.

"Farmers are angry that the government increased the MEP to protect consumers. Now when the farmers are suffering, neither the government nor the media is ready to take note of our sufferings," said Nanasaheb Patil, chairman, Lasalgaon APMC. The Lasalgaon APMC has requested union agriculture minister Sharad Pawar and the commerce ministry to look into the issue of falling prices.

At Rs 10 per kg, farmers barely recover the cost of production. "We have conveyed to Pawar that farmers have threatened to stop the working of APMCs from Monday if the MEP is not lowered or removed as earlier," said Patil. Prices are further likely to come under pressure as arrivals are going to increase due to a favourable climate and a higher acreage.