Wholesale onion prices go down
There was little impact on the retail prices of onion which remained high between `60-70 per kg across the country even as an anxious government kept a close watch on the situation. The only relief for the government was that the wholesale prices of onion came down in the major markets of Maharashtra and Gujarat following its move to ban exports indefinitely and allow duty-free imports of the commodity on Wednesday.
“Wholesale prices are coming down. We are hopeful that there will be an impact on the retail prices shortly,” consumer affairs secretary Rajiv Agarwal said on Thursday.
Mr Agarwal said wholesale prices in Lasalgaon mandi in Maharashtra came down to `2,500 to `3,000 per tonne on Thursday from `4,500 to `5,000 per tonne a few days ago.
Similarly in Ahmedabad, the wholesale prices came down to `3,000 to `4,000 per tonne from `3,500 to `5,000 a tonne earlier, he said.
Cabinet secretary K.M. Chandrashekhar reviewed the situation in a meeting of the committee of secretaries including secretaries of agriculture, food, consumer affairs, revenue and commerce besides representatives of the railway ministry on Thursday.
“We have decided to move onion from different areas with the help of railways. We will do whatever is required to bring down the prices of onion,” Cabinet secretary K.M. Chandrasekhar told reporters.
“There is a shortfall in Maharashtra but Karnataka is reasonably good and Gujarat is producing a lot of onions,” he further said.
Sources said difference of opinion between the agriculture and the consumer affairs ministries on the role of hoarding behind soaring prices of onion cropped up during the meeting. Though consumer affairs secretary Rajiv Agarwal maintained that no hoarding was happening, sources said it was definitely a part of the problem.
“How does one explain the doubling of prices overnight on December 19 to 20 from `30 to `40 per kg to `70 to `80 per kg,” said a source.
The commerce ministry too held consultations with the state trading agencies like the MMTC, STC, and PEC to explore from where it can import onion in order to cool down the domestic prices. But in the wake of softening prices of onion in the country, agri-cooperative Nafed deferred onion imports from Pakistan.
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