Mumbai: Maharashtra Minister of Marketing Jaykumar Rawal has said NAFED should work in close coordination with his department while taking decisions on onion stocks, as independent moves could affect both farmers and consumers.
After the cabinet meeting on Tuesday, Rawal told reporters that the state has produced nearly 170 lakh metric tonnes of onion this year, around 55 lakh metric tonnes more than last year.The National Agricultural Cooperative Marketing Federation of India Ltd (NAFED) had earlier indicated it would release stored onions into the market if prices went above Rs 30 per kg, he said.
"This led to a sudden fall in prices as traders reacted to the announcement. Farmers faced losses and we have therefore told NAFED that such decisions need to be taken in consultation with the state," the minister said.The Centre has been informed that timely export support would help stabilise prices and prevent further distress for growers, he said.
Rawal also mentioned that a proposal seeking additional export subsidy has been prepared by the marketing department and will be sent to the Union government. "This will encourage exports and help balance the market," he said.
On the issue of traders, Rawal said some had taken undue advantage of rumours about NAFED's market operations."We have asked market committees to monitor such practices and to act against those who intentionally depress prices. Licenses of errant traders may be cancelled if needed," he added.
Disclaimer: This story is from the syndicated feed. Nothing has changed except the headline.
