Onion Prices Touches SKY HIGH; Highest in 4 years, Chennai Suffers Most!

Common man has always been the first to be affected; be it Motor vehicle Act or Demonetization. Now its the price of onions which has again shot up by about 50 per cent from Rs 30-40 per kg to Rs 50-80 per kg. 

This rise in price is due to uneven distribution and supply in the wholesale markets across the country after floods in major supplying states such as Maharashtra, Karnataka and Madhya Pradesh.

According to The Asian Age report, the current Narendra Modi government is mulling imposing stock limits on onion traders. Also, the onion supply is expected to improve in November when new crop will come in the market. 

With the rise in price, the ministry of food and consumer affairs rose the retail price of onions to Rs. 50-60 per kg in Delhi, Rs. 50-70 per kg in Mumbai, Rs. 45-60 per kg in Kolkata, and Rs. 40-50 per kg in Chennai last week. 

Onion prices have rose up to almost 30 percent in two days and touches the highest since September 2015. 

The current government has also taken several measures in the last few weeks to improve domestic supply and check further increase in the prices of onion, The Asian Age further reported. 

The main onion producing regions are Maharashtra, Karnataka, Andhra Pradesh, Gujarat, eastern Rajasthan, and western Madhya Pradesh, who have been receiving heavy rainfall in the past week which totally counts to the loss of crops and production. 

In a bid to help the common man out of this issue, the Centre has taken several measures to arrest the prices of onion in Delhi and other parts of the country.