Onion farmers staged a 'rail roko' agitation at Lasalgaon in Nashik district

PUNE: Onion farmers disrupted train services as they staged a 'rail roko (stop trains)'agitation at Lasalgaon in Nashik district on August 14, demanding removal of onion and potato from the Essential Commodities Act since prices have remained flat over the past month and a half.

"The government should not interfere in the markets of farmers," said Sharad Joshi, founder leader of farmers’ organisation Shetkari Sanghatana and former member of the Rajya Sabha, who led the agitation.

He added: "We also want the government to remove restrictions on genetically modified crops as technology is important for farmers. We are for globalisation and do not support the government’s opposition to WTO deal."

Farmers’ unrest has been building up in Maharashtra as onion prices have remained stable in July and August. Nanasaheb Patil, chairman of the Lasalgaon APMC (agriculture produce marketing committee) said, "The production cost of onions for the farmers is much higher than the current onion prices. The recorded official loss of onions in Maharashtra due to the hailstorm is 42%. In addition to this, it is also a recorded fact that 35% of the crop in storage gets damaged due to rotting."

According to people familiar with the matter, even as the government does not appear worried about importing onions because domestic prices are under control, about 40 containers of onions imported by private traders have arrived in Mumbai from Egypt and China. Traders, who were hoping that the prices would be about Rs 30-35 per kg, had placed import orders in June. The cargo has not been cleared by customs yet. "The private party that has imported onions is definitely going to bear loss," said a trader, who did not wish to be named.

Wholesale onion prices at Lasalgaon increased marginally on Thursday by Re 1 per kg to Rs 17.50 per kg as the markets will remain closed till August 18 due to holidays.