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Commodity News - Avg wholesale onion price hits 18-month high

The country's onion production is expected to remain flat at 23.28 million tonnes in the 2018-19 crop year that ended in June, according to the agriculture ministry's latest estimate. While potato output is projected to be higher by 3.4 percent at 53.03 million tonnes, tomato production is seen to be lower 1.8 percent at 19.39 million tonnes in the said period, it said. Overall vegetable production is estimated to be around 185.88 million tonnes, higher than 184.39 million tonnes achieved last year, it added.


  • In Delhi's Azadpur agricultural market, good quality onion is selling at Rs 30-40 a kg and in retail, Rs 50-60 a kg.
  • On Wednesday, 57 trucks of onion (about 1,200 tonnes) arrived at the Azadpur agriculture market. On Tuesday, only 37 trucks had arrived. 
  • According to traders at the mandi, anything less than 70 trucks will create onion demand-supply gap and increase the price.


At the benchmark Lasalgaon mandi of Nasik (Maharashtra), Asia's largest onion wholesale market, prices have shot up 80 percent to trade at Rs 27-28 per kg.

A Nasik wholesale trader said stocks had declined in other parts of the country as well and it would take two months for new products to arrive due to late sowing of Kharif onion. All these factors were contributing to the price rise, he added.

As the prices increased, the National Agricultural Cooperative Marketing Federation (NAFED) released onion from the buffer stock to help contain the price.

Sharma said different varieties of onion were selling at different prices in the Azadpur Mandi. Prices might keep fluctuating in mandis for some time as big stockists were not releasing their stock in the hope of getting better prices later, he added.

However, the government has removed the 10 percent subsidy on export of fresh onion to contain prices in the domestic market.

Commodity | Onion Prices | Indian Rupee

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