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LATEST NEWS UPDATES | Govt vows to keep lid on onion prices

Govt vows to keep lid on onion prices

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published Published on Sep 5, 2014   modified Modified on Sep 5, 2014
-PTI

Agriculture Minister Radha Mohan Singh said Friday the government will take all measures to ensure that onion prices do not go up to the Rs 80-100 per kg level again, seeking to quell fears of a spike in the festive season ahead.

The monsoon was late, so the kharif or summer onion crop would be delayed by a month in Maharashtra, Rajasthan and Madhya Pradesh, the main growing areas. This could push up prices in late September and October.

"Delhi people know that the earlier government used to be scared when onion prices skyrocketed to Rs 80-100 per kg. Now, prices are ruling at Rs 25-30 per kg and the government is awake and will not allow prices to rise," Singh told reporters on the sidelines of a event on the dairy sector organised by the Confederation of Indian Industry.

"I would like to ask from people what was onion price in the last year and what it is today. The government is taking measures to control prices of all fruits and vegetables. ...By all means, we will not allow onion prices to reach the level that used to be in Congress-led government regime," he said.

In order to avoid a spike in onion prices during late September and October, the government recently removed the requirement of mandatory fumigation for imported onion to boost supply of the commodity and check price rise.

The removal of this requirement would reduce the time taken for imports of onion into the country. The government has also waived off the four times penal fees on account of non-compliance of the fumigation norms.

The domestic demand during the lean period from June to November is met through stored rabi (winter) and fresh kharif (summer) produce.

According to official data, onion prices are at present stable in the range of Rs 20-30 kg in most part of the country. Onion is available at Rs 30 per kg in Delhi, Rs 32 per kg in Mumbai and Rs 25 per kg in Chennai and Calcutta.


The Telegraph, 5 September, 2014, http://www.telegraphindia.com/1140905/jsp/frontpage/story_18803898.jsp#.VAmTwhZwxng


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