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Onion Prices in fluctuations, Impact on Farmers and Consumers, Check Rates in Key Markets

Onion
Onion

Recent weeks, wholesale markets across the country have seen a significant drop in onion prices. Farmers were receiving around ₹25 to ₹30 per kilogram, but there has been a slight relief as the prices has started to rise. In most markets, onions are now being sold at ₹15 to ₹20 per kilogram.

January 2024, the minimum price of onions in Maharashtra was ₹1,495 per quintal, while the maximum price was ₹1,537 per quintal. Comparatively, in January 2025, the minimum price at Maharashtra's Vashi Navi Mumbai market dropped to ₹835 per quintal, while the maximum price surged to ₹2,905 per quintal.

Onion Prices in Major Markets (January 2024): 

Market Name Variety     Arrival (in tons) Min Price (₹/quintal) Max Price (₹/quintal) Avg Price (₹/quintal)
Bhopal, MP Bellary   63 1,495     1,537     1,495
Indore, MP Onion     50,770 837     1,840     946
Vashi Navi Mumbai, MH Other     17,480     1,505     2,329     1,917
Azadpur, Delhi Onion     26,697     1,401     2,437     2,058
Lucknow, UP Red     4,431     1,930     2,028     1,981

Onion Prices in Major Markets (January 2025):

Market Name Variety     Arrival (in tons) Min Price (₹/quintal) Max Price (₹/quintal) Avg Price (₹/quintal)
Bhopal, MP Onion     31 1,425     1,500     1,500    
Indore, MP Onion     39,865     1,049     2,075     1,852
Vashi Navi Mumbai, MH Other     18,285     835     2,905     1,870
Azadpur, Delhi Onion     12,430     1,427     2,772     2,091
Lucknow, UP Red     2,220     2,406     2,513     2,461

Onion Production during Kharif and Rabi Seasons: Favorable monsoon rains and optimal weather conditions during 2024-25 are expected to boost onion production compared to the previous year. Increased sowing during the Kharif and late Kharif seasons has contributed to higher yields. Similarly, Rabi onion sowing is progressing well. In contrast, domestic onion production in 2023-24 saw a sharp 20% decline compared to the previous year, alongside a surge in international prices, which posed significant challenges in stabilizing prices.

Buffer Stock Intervention: Onions Sold at ₹35/kg to Consumers:

To stabilize prices, the government procured 4.7 LMT of Rabi-2024 onions for buffer stock. The average procurement price in 2024-25 was ₹2,833 per quintal, higher than the previous year’s ₹1,724 per quintal, benefiting onion farmers. From September to December 2024, onions from the buffer stock were sold to consumers at ₹35 per kilogram through retail outlets and mobile vans. Additionally, open market disposal was undertaken to increase supply in major consumption centers.

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