The wholesale onion price at the Agriculture Produce Market Committee (APMC) in Nashik has improved marginally. However, it has not made farmers happy as the whole preposition is still in deficit.
The average price of onion which had been dwindling in the last few weeks to the tune of Rs250 per quintal, improved marginally on Tuesday to the tune of Rs551 per quintal.
The lowest price at the APMC, Lasalgaon, was Rs100 per quintal, the highest being Rs734. However, this increase does not fill in the production cost deficit for farmers. The cost of production has been around Rs1,000 per quintal and the improved rates still do not match.
Last few days heavy rainfall in the regions of Niphad, Vinchur and in the onion belt of Marathwada, Ahmednagar and Pune has resulted in drenching the soil and thereby the new onion Kharif crop — the red onion which was about to be ready for an early harvest. The Red onion begins from mid-October through the winter. However, the bulbs beneath the soil have also caught the rain water and now it will take time for the soil to dry. Had the rain not played spoilsport, in 15 days this onion would have come to the markets.
The situation also had a flip side: the increase in demand for the stored summer onion — which has survived the heavy monsoon. "This stored onion is also good to be transported to other states as the wet onion may not survive the travel time. Hence, the stored onion is getting a better price," stated Suresh Bhor, onion farmer from Chandori.
This situation of onion is likely to change in November with the full harvest of winter onion. However, with the sowing of Kharif onion being lesser in acreage this season and the September-October rains of the returning monsoon drenching the plants, it appears that in winter the supply will be short and markets prices for the farmers will improve to the tune of Rs1,000 to Rs2,000 per quintal.
The present situation however has gripped a large number of farmers in the region of Nashik.
The Swabhimani Shetkari Sanghatana had also staged an agitation demanding that the government should give minimum support price of onion at Rs2,000 per quintal.
Regarding the subsidy of Rs1 per kg being given by the government to farmers, the Sanghatana had demanded that it should be increased to Rs5 per kg.
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