Pune: Onion prices have started to increase after a slump of 18 months after the Madhya Pradesh government procured 2 lakh tonne of onions, removing excess supplies from the market.
Rise in prices is witnessed also due to damages inflicted by July rains in Gujarat and Rajasthan that has set bullish trend in onion prices. At the benchmark Lasalgaon APMC in Maharashtra, average wholesale onion prices have doubled during the past 10 days to Rs 13/kg. As onion prices have begun to increase, it will help avoid shortages of the commodity by encouraging farmers to plant more, say trade veterans.
Traders were afraid of onion farmers, especially from the non-traditional onion growing regions to shift away from the crop, leading to shortages post-Diwali due to the prolonged slump in onion prices. Read more
Rise in prices is witnessed also due to damages inflicted by July rains in Gujarat and Rajasthan that has set bullish trend in onion prices. At the benchmark Lasalgaon APMC in Maharashtra, average wholesale onion prices have doubled during the past 10 days to Rs 13/kg. As onion prices have begun to increase, it will help avoid shortages of the commodity by encouraging farmers to plant more, say trade veterans.
Traders were afraid of onion farmers, especially from the non-traditional onion growing regions to shift away from the crop, leading to shortages post-Diwali due to the prolonged slump in onion prices. Read more