Onion prices to rise from the next month

Onion would cost around Rs 17 to Rs 20 per kg from the next month, according to a study made by Domestic and Export Market Intelligence Cell in Tamil Nadu Agricultural University.
  
The rainfall during harvest in October-November might lead to poor quality bulbs and there could be a loss of 30 per cent of the produce if stored for three months during rainy period, it said and advised the farmers to sell the produce immediately upon harvest or store till November.

The price of small onion was Rs 18 to Rs 19 per kg during April-July 2009, which was 36 per cent higher than what prevailed during the same period last year. In this month,
onion prices were around Rs15 per kg due to arrival from China to the global markets and premature harvest of kharif crop in Tamil Nadu, the cell said.

The export pressure led to arrivals of poor quality produce to the market and this influenced the quantity demanded for exports in the downward side and in turn reduced
the prices in Dindigul Market in Tamil Nadu.

According to National Horticultural research and Development foundation, Nasik in Maharashtra, the area under small onion in 2009 under Kharif has increased to 13,000
hectares from 10,800 in 2008, which was 20 per cent higher than in the previous year, the study said.

Quoting trade sources, the Cell said exports would pick up after Diwali festival and so far India has exported about17.60 lakh tonnes of onion in 2008-09, which was 37 per cent
higher than the exports in 2007-08.