Cannot forecast when onion prices will ease, says Agriculture minister

As sharp rise in onion prices continues to pinch consumers badly, Agriculture Minister Sharad Pawar has said he would not be able to say when the prices would ease as rains have hit supplies from key growing states.

Onions prices are still ruling at an unaffordable level, though rates have started softening both in the wholesale and retail markets across the country following government measures, including allowing cooperative Nafed to import onions.

Asked when onion prices would cool down, Pawar said: "I don't know about prices but I know about the crop condition. The crop in Nashik has been affected due to drought. As on today, the overall crop condition is good."

In the national capital, retail prices have come down to Rs 60/kg on Monday from Rs 80/kg last week, while wholesale prices at Lasalgoan in Nashik district of Maharashtra have fallen to Rs 35.65/kg now from the high of Rs 55/kg.

However, onion prices are likely to be under pressure till October when the new crop is expected to hit the market.

Arrivals are expected any time from Maharashtra, Tamil Nadu, Madhya Pradesh and Rajasthan but "these states are facing logistics problem due to rains", Pawar told reporters.

Earlier, the minister had said the rise in onion prices was a "temporary situation" and prices would cool down once arrival begins from the key growing states.

According to official data, India has exported 5,11,616 tonnes of onion amounting to Rs 776.47 crore in the first quarter of this financial year against 5,17,274 tonnes in the year-ago period.

With inputs from PTI