Onion prices crash as fresh produce floods markets

Tribune News Service

Mumbai, January 3

Consumers can heave a sigh of relief as onion prices in the wholesale markets have begun to crash.

According to information available from Lasalgaon, the country’s main onion market, wholesale prices fell to Rs 3,900 per quintal following a surge in arrival of fresh crop.

“Onion prices are coming down as fresh supply is arriving in the markets,” said Shashikant Shinde, a trader at Lasalgaon. According to him, the market received more than 20,000 tonnes of onions today.

Last month, onion prices touched a record high of Rs 8,625 per quintal in the wholesale markets, while the retail prices were around Rs 130 a kg in Mumbai.

Wholesale prices are expected to fall below Rs 2,000 per quintal in the coming days as the winter crop gets harvested, according to traders.

Retail prices of onions are still around Rs 80 per kg as traders are disposing off their stock, according to sources.

“Retail prices of onions will come down to Rs 40-50 in the next few weeks,” says a trader from the Agriculture Produce Marketing Committee market in Navi Mumbai.

The kharif crop arrives in the market by mid-October. However, unseasonal rain even after Diwali damaged standing crop, according to traders.