Centre’s initiative of retail selling of Onion at subsidised rate reflecting decline in price

The retail sale of onion, at the subsidised rate of Rs. 35 per kg, was rolled out with the flagging off of mobile vans on 5th September 2024. The retail disposal started through outlets and mobile vans of NCCF and NAFED in major consumption hubs, i.e., Delhi and Mumbai and was subsequently extended to other important locations like Chennai, Kolkata, Patna, Ranchi, Bhubaneswar, Guwahati etc. The location details are given in the table below.

This initiative has started showing positive tangible results:

Between launch date (05.09.2024) and 13.09.2024:

– Delhi: Prices dropped from Rs. 60 on Rs 55

– Mumbai: Prices decreased from Rs. 61 to Rs. 56.

– Chennai: Prices reduced from Rs. 65 to Rs. 58.

In response to growing demand and to further ease the prices of onion, Government decided to enhance the quantity and distribution channels. Besides expanding the retail sale to e-commerce platforms, outlets of Kendriya Bhandar and SAFAL, bulk sales strategies are also being adopted to ensure availability of onions to the consumers at affordable prices. The wholesale disposal has already commenced in major cities such as Delhi, Mumbai, and Chennai and will be extended to Hyderabad, Bangalore and Kolkata in coming days, and eventually to all state capitals. The wholesale disposal, this time, is happening through both road transport as well as railway network. This initiative, besides bringing logistical efficiency, will also reduce post-harvest losses.

The Department of Consumer Affairs is also working closely with state governments to ensure a targeted and steady supply, based on evolving supply- demand conditions and price trends.

The ultimate goal of the Government is to ensure that every household across the country has access to affordable onions. The government, hence, will remain committed to maintaining vigilant oversight of onion prices and continue taking proactive decisions for onion disposal in high-price centres to protect consumers from any further price escalation.

Enhanced retail and bulk sale strategies along with the available buffer stock of 4.7 LMT of onion and increased kharif sowing area as compared to the previous year, onion prices will remain under control in coming months.

( Source PIB )

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