Onion stock in the country, which was stored in May and June this year, is almost getting exhausted and is expected to be over by the end of this month, the latest report of the National Horticulture Research Development Foundation says. Meanwhile, onion prices in most consumer markets are falling and are expected to significantly decrease after mid-November. Consumers can look forward to lower prices post Diwali with increasing arrivals of onions in the market, observers said.
On Friday, average prices of onion touched Rs 2,100 per quintal, the season’s lowest so far with arrivals increasing to 9,200 quintals. Average prices on Thursday were similar, data available with NHRDF says.
The NHRDF report says onion prices have started declining due to the arrival of kharif onion in the markets. Currently, onion prices range from Rs 1,500 to Rs 2,200 per quintal in Lasalgaon and Pimpalgaon, Mahuva and Bhavnagar in Gujarat and and Hubli and Bangalore in Karnataka.
About 95% stored stock has already reached the market and the rest of the stored stock in Maharashtra and Madhya Pradesh is expected to get exhausted this month.
Significantly, the area under kharif onion in the country is almost the same as last year. The standing kharif crop in Maharashtra, Gujarat, Rajasthan and Madhya Pradesh is good, the officials said. Harvesting of kharif crop in Andhra Pradesh and and Karnataka is in full swing and arrivals are expected to reduce day by day as 75% kharif onion has already been harvested in both the states and only 25% is left in the fields. Since the crop condition was not so good, the productivity is on the lower side, the report said. The kharif harvesting in Maharashtra, Gujarat, Madhya Pradesh and Rajasthan has begun and is expected to get into full gear from the second fortnight of November.