Onion warehouses raided in Maharashtra to check prices

Shiv Kumar
Tribune News Service
Mumbai, August 24

Several warehouses owned by onion traders in and around Nashik have been raided by the authorities over the past few days in order to check hoarding of the bulb amidst soaring prices.

According to state government officials, several warehouses in Lasalgaon and Pimpalgaon which account for the bulk of the country’s onion trade were raided by the food and civil supplies department over the past two days.

Though the news of the raids caused some panic in the country’s main onion markets, business continued as usual with prices touching Rs 2400 to Rs 2500 per quintal, according to traders in Lasalgaon.

Retail prices of onion have crossed Rs 40 in many parts of the country, according to reports.

Poor quality onions are being retailed at Rs 35 per kilo in Mumbai.

Meanwhile, there is a buzz in the markets that the Central government will soon ban export of onion in order to control prices.

“The National Agricultural Cooperative Marketing Federation of India Ltd (NAFED) which purchased more than 30,000 tonnes of onions to build a buffer stock when prices crashed earlier this year is now unloading some of its stock to help stabilise prices,” an official said.

Though import of onion is free under the open general license there are no plans by traders to purchase the same from global markets, according to traders here.

Farmers had gone slow in cultivating onion earlier this year after wholesale prices crashed to one rupee a kilogramme.

The monsoon crop has been damaged in many parts of Maharashtra because of severe flooding, according to farmers.

The late kharif crop which is now being planted is expected to hit the markets only in November, according to officials here.