Onion prices are likely to stay high in the coming days as a shortage in the market and ineffective government measures fail to check rising prices, Business Standard reported on Thursday. Prices of the vegetable have increased rapidly over the past few weeks across the country with retail prices going up to Rs 56 per kg in Mumbai and Delhi, Rs 48 per kg in Kolkata, and Rs 34 per kg in Chennai, according to data from the Consumer Affairs Ministry.

The prices rose in the last one month as supply from states such as Maharashtra has been disrupted due to rain and subsequent floods. Traders from states like Maharashtra claimed that sufficient stock of onions from the previous year’s crop exists, but transportation had been difficult due to incessant rain, NDTV reported. They also claimed that the price rise was due to an anticipated fall in kharif or summer production.

Owing to the rising price of the vegetable, last week the Centre had imposed a minimum export price of $85 per metric tonne. This was done as a measure to reduce onion exports and lower its price in the domestic markets.

Union Minister for Food and Consumer Affairs Ram Vilas Paswan said on Wednesday that a stock limit would be imposed on the vegetable after reviewing the situation. “Supplies are apparently being restrained to jack up prices,” he said, according to Business Standard. “The government is dipping into the central buffer in order to improve supply mitigate the shortfall, and will also consider imposing stock limits if prices do not moderate due to speculative behaviour on the part of traders.”

Paswan’s remark came after the government introduced various measures to help check the price of onions. He also claimed that the reported export below the minimum export price to countries such as Bangladesh and Sri Lanka would also be stopped immediately and stringent action would be taken against those violating the order.

The Centre has also decided to release more onions from its buffer stocks of 56,000-tonne to those places facing scarcity, an unidentified official with the consumer affairs ministry told Hindustan Times. Around 16,000 tonnes had been sent out so far with 200 tonnes being offloaded to Delhi. Onion production is estimated to be around 23.48 million tonnes, which is 0.95% higher than the production last year, according to a government release late last month.

Agriculture minister Narendra Singh Tomar on Tuesday asserted that improved supply chain through National Agricultural Cooperative Marketing Federation of India Ltd would help in easing the prices in a few days, according to The Times of India.

Onion prices had fallen to Rs 5 per kg and below in January, which had forced a section of farmers to shift to other crops, an unidentified senior government official said. A trader claimed that certain farmers and traders had stored onions and were releasing it slowly in the market as they had faced losses in the previous season.

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