Nashik: Onion Prices Rise To ₹2,200 Per Quintal As Supply Declines Post-Diwali At Lasalgaon

Nashik: After Diwali, the arrival of summer onions has declined, and the new ‘Pol’ onion crop is yet to enter the market. As a result, onion prices have begun to improve in the final phase of the season. At the Lasalgaon onion market, the average price has reached ₹1,680 per quintal, with the highest rate touching ₹2,200.

Since April, during the current financial year, average onion prices have hovered between ₹1,000 and ₹1,300 per quintal, keeping farmers waiting for a price rise. A considerable quantity of onions rotted in storage. Many farmers were forced to sell at a loss, not even recovering their production costs. After Diwali, when auctions resumed at the market committee, prices were in the range of ₹1,100–₹1,200 per quintal. Gradually, the rates have improved.

Last year, export duty and the minimum export price had stalled any price rise. Additionally, onions from NAFED and NCCF’s buffer stock were released in urban markets, putting downward pressure on prices. Most farmers did not receive prices even equivalent to production costs, putting them in severe financial distress.

This year, erratic weather and the release of NAFED and NCCF’s buffer stock into the market have continuously hit prices. Since August, this has obstructed any steady improvement. Now, post-Diwali, arrivals have dipped, leading to increased demand and improved prices.

In Pune, Solapur, and Satara, key regions for the new Kharif red onion, arrivals usually begin during this period. However, this year’s rainfall has disrupted supplies. Nashik, the main kharif onion-producing belt, has also suffered major losses. Gujarat, Rajasthan, Karnataka, and Andhra Pradesh, all major onion-producing states, have also been affected by excessive rainfall, resulting in reduced production. Consequently, supply across various markets has failed to meet demand, leading to a firming price trend nationwide.

At the Lasalgaon APMC, a total of 783 truckloads of summer onions arrived, with prices ranging from a minimum of ₹700 to a maximum of ₹2,200 and an average of ₹1,680 per quintal.