New Delhi: Onion prices continued to be volatile, surging by Rs 10 to Rs 40 per kg on Thursday at Lasalgaon Mandi in Nashik.
Wholesale onion prices at Lasalgaon Mandi, which sets the price trend across the country, rose as supplies halved to 1,500 quintals from 3,000 quintals on October 1, according to data maintained by the National Horticultural Research and Development Foundation (NHRDF).
Prices had fallen by Rs 12 per kg at the market on October 1. Wholesale onion prices at New Delhi's Azadpur market remained at about Rs 40 per kg, whereas the retail rate in the National Capital Region continued at Rs 60-65 a kg, according to the Onion Merchant Traders Association.
Nashik: Onion price rises by Rs 10 per kg at Lasalgaon on lower supply
NHRDF Director RP Gupta called the surge in onion prices a temporary phenomenon. "Arrival of kharif onion has started in the markets from the last week of September...it will take time for the market to settle down," Gupta said. Onion prices skyrocketed to Rs 80 per kg across the country last month, forcing the Centre to impose a minimum export price of USD 900 per tonne to curb outbound shipments.
Private players were also allowed to import the commodity from Afghanistan. Onion exports fell 81 per cent to 29,247 tonnes in August from 1.56 lakh tonnes a year earlier. Onion production during 2012-13 stood at 16.3 million tonnes. According to NHRDF data, the area under onion crop last year narrowed to 9.58 lakh hectares from 10.87 lakh hectares in the preceding year.