Sri Ganganagar: Following sugar, onion prices are witnessing a sharp increase once again. In just a few days, the price of onions has risen from Rs 25 per kg to nearly Rs 60 per kg, straining the kitchen budgets of ordinary consumers. People express concern that vegetable prices may rise further during the rainy season.
According to wholesale traders, the arrival of onions in the mandi has declined rapidly. The primary supply of onions comes from Nashik and Madhya Pradesh, but rain in both regions has impacted the supply chain.
Traders noted that rains following the previous harvest in Madhya Pradesh damaged large quantities of onions in the fields, affecting market availability. Wholesale dealers stated that onion prices have surged by around 50 percent in the past week alone. Beyond low arrivals, a major reason behind this is a widening gap between demand and supply caused by reduced production during the previous Rabi crop season.
Traders also attribute the price rise to the lifting of the ban on onion exports. To control domestic prices, the government had imposed a ban on onion exports in December 2023, which was removed at the beginning of the current financial year. This move has also affected availability in the domestic market.
