The heavy rain during July impacted the supply of onion and its prices have started rising. In the last week, the price of onion has seen around 15 % rise in the wholesale market and even the retail price has also started rising.
Supply shortage
Normally, the Agriculture Produce Market Committee (APMC) Vashi receives around 120 trucks laden with onions per day. For the last few days, the supply has come down and the number of trucks arriving at the market is around 90-95 which is insufficient to meet the requirement. The Vashi APMC supplies essential commodities to the MMR area and a dip in supply affects its prices across the MMR.
According to traders, the price of premium quality onion is around Rs 22 per kg. “The market is not receiving mixed quality onions. A big part of the arrival is wet onions which will rot very fast and the recovery of the cost will be very difficult for both wholesaler and retailer,” said the trader.
Wholesale market rate
Wholesale markets have witnessed an increase of Rs. 2 to Rs. 5 per kg in onion prices. From a previous range of Rs. 15-Rs. 18 per kg, onions are now commanding prices of Rs. 18-Rs. 22 per kg in the APMC market. Retail markets reflect even higher rates, with onions fetching prices of Rs. 30 to Rs. 35 per kg.
Pranav Das, a vegetable retailer from Nerul says that the quality of onion is not good and it cannot even be stored for a week.
