Traders attributed floods and heavy rains in Andhra Pradesh and Odisha for the price rise in Kolkata and Chennai. These two states meet onion demand of neighbouring states.
"Wholesale prices are softening," said Rajendra Sharma – the president of Delhi Agricultural Produces Market Committee -- and added that onion arrival at Azadpur mandi has doubled to 2,000 tonnes today.
Fearing high onion prices could impact forthcoming assembly elections, the Delhi government has already sent a team to Maharashtra to scout for cheaper onions.
It has also got permission from Election Commission to sell onions at lower rates via mobile vans and outlets to provide relief to consumers.
Onion prices have skyrocketed across the country in the last three months due to shortage of supply owing to extended monsoon rains in producing belts.
The kharif crop is being harvested in states like Maharashtra and Karnataka but rains in between have damaged the crop, deepening the shortage crisis in consuming states.
The Centre has taken several measures to contain prices. It has restricted exports and allowed imports. State-run Nafed has floated an import tender, which will open tomorrow.