Residents of Delhi-NCR will soon see relief from the steep rise in onion prices, as the government steps in to manage the escalating costs. This action comes in response to concerns about the strain high food prices are placing on household budgets. To address this issue, the Centre has announced that onions will be sold at a subsidized rate of Rs 35 per kilogram through mobile vans and NCCF retail stores in the Delhi-NCR region starting Thursday, September 5. Food and Consumer Affairs Minister Prahlad Joshi will officially launch this program from Krishi Bhawan.
Distribution Locations
The onions will be distributed through mobile vans at 38 locations, including Krishi Bhawan, NCUI complex, Rajiv Chowk Metro Station, Patel Chowk Metro Station, and various areas in Noida. This market intervention is intended to enhance local supply and help control the rising prices of onions, which are currently above Rs 60 per kilogram in Delhi.
NCCF’s Role and Buffer Stock
The National Cooperative Consumer Federation (NCCF) has a reserve stock of onions sourced directly from farmers in Maharashtra and Madhya Pradesh. This stock will be sold at the subsidized rate of Rs 35 per kilogram to protect consumers from exorbitant prices and to prevent excessive profits by intermediaries. By dealing directly with farmers and offering onions at a lower price, the NCCF aims to mitigate the impact of price volatility on consumers.
Onion Exports and Procurement Prices
As of July this fiscal year, India has exported 2.6 lakh tonnes of onions, according to Minister of State for Food and Consumer Affairs B.L. Verma. Last year, India exported a total of 16.07 lakh tonnes. The procurement price for the buffer stock this year has averaged Rs 2,833 per quintal, which is 64% higher than the Rs 1,724 per quintal paid last year.