New Delhi, Aug 24 (NVI) The prices of onion have increased over the last few days.
The all-India average retail price of onion rose 59 per cent year-on-year to Rs 43.53 per kg on 24 August, compared with Rs 27.37 per kg a year earlier.
The average wholesale price increased 68 per cent to Rs 35.58 per kg from Rs 21.23 per kg during the same period.
Among major cities, retail onion prices stood at Rs 60 per kg in Chennai, compared with Rs 33 a year earlier.
Prices were at Rs 55 per kg in Delhi, against Rs 35 a year ago. Kolkata also recorded a retail price of Rs 53 per kg.
The government is going to send onions to Chennai, Madurai, Delhi, Ernakulam and Guwahati, with additional destinations to be added depending on market requirements.
The buffer onions will be supplied through both wholesale and retail channels, with retail sales priced at Rs 35 per kg through the National Cooperative Consumers’ Federation of India (NCCF) and National Agricultural Cooperative Marketing Federation of India (NAFED).
The Centre is also monitoring mandi prices and market conditions to determine further interventions.
According to media reports, Consumer Affairs Secretary Nidhi Khare said mandi prices in Nashik were higher than in Delhi, indicating the possibility of cartelisation and speculation.
The onion buffer stock is maintained as a strategic reserve to moderate price spikes during periods of tight supply.
The stock is procured mainly through agencies such as NAFED and NCCF under the price stabilisation fund and released in a calibrated manner when prices rise sharply.
The government has a buffer stock of 1.21 lakh tonne of onions for the current year. The Centre has said domestic availability remains adequate, with estimated 2025-26 onion production at 307.37 lakh tonne, broadly in line with 307.67 lakh tonne recorded in the previous year.
Onion prices typically rise during August and September due to seasonal factors, including festive demand, weather disruptions, supply chain movements and changing consumption patterns.
The government releases buffer stocks through bulk mandi sales and targeted retail distribution, with the timing, quantity and destination determined by prevailing prices and market conditions.
The Centre said stable production, adequate buffer stocks and timely market interventions are expected to help moderate seasonal price pressures.
The government will continue monitoring prices, arrivals and availability across states and undertake further measures as required. (NVI)
