Sugar and onion prices stabilise after stock-limit curbs and buffer sales, but onion outlook stays bullish

Pune: The prices of sugar and onion, the two daily staples, whose prices had seen a large rally, have stabilised since a week as a result of strong government measures like stock limit and compulsion to sell allocated sugar stock in a given time window and sale of buffer stock onions at ₹35/kg, shows market price data.

The ex mill sugar prices, which had touched ₹65/kg, have been contained in the ₹44-49/kg range, while the wholesale prices of onion have reversed by ₹4/-5/kg. However, the trade is still bullish about the increase in onion prices as the Kharif crop has been delayed by about a month.

Sugar prices have stabilised from the second week of September as a combined effect of various policy measures," said Dilip Patil, regional director (west), Indian Federation of Green Energy.