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LATEST NEWS UPDATES | What is behind sky-high onion prices? -Subodh Varma

What is behind sky-high onion prices? -Subodh Varma

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published Published on Sep 25, 2019   modified Modified on Sep 25, 2019
-Newsclick.in

More than ‘short supply’, profiteering by traders is behind the ongoing high prices. But why is the government beating around the bush instead of acting fast?

Within weeks – in fact days – onion prices have gone through the roof across the country, reminding everybody of the periodic spikes in the past that caused governments to fall. In Delhi, for instance, the price of onions at the local sabziwala is ranging at Rs 60-80 per kilogramme, almost three times what it was a couple of months ago.

It is being said that the complex crop cycle has been disrupted, first due to last year’s drought in Maharashtra and Karnataka (two major onion producing states) followed by floods in both regions. Onions are sown three times in one year and supply is sustained round the year by storing some portion of the harvest (especially the winter one) to tide over lean months. There is some truth to this, as we will see later.

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Newsclick.in, 24 September, 2019, https://www.newsclick.in/what-behind-sky-high-onion-prices?fbclid=IwAR2IaYnissTWoAI6-D6jS8_n9y4ifxW3iaBBcn8UrT1witWjfKeALcWFGIE


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