New Delhi, July 4, 2026: The government on Saturday raised the procurement price for onions by 13% to Rs 2,125 per quintal from Rs 1,875 per quintal, effective July 4, 2026, saying the move will improve returns for onion farmers and bolster buffer procurement. The Consumer Affairs Ministry said purchases through NAFED and NCCF for the Price Stabilisation Buffer are under way.
The ministry said the revised floor will support farmer incomes while enabling stronger accumulation for the buffer. According to the Department of Agriculture & Farmers’ Welfare’s second advance estimates, onion production for 2025-26 is put at 307.37 lakh metric tonnes (LMT), nearly unchanged from 307.67 LMT in 2024-25, suggesting overall availability is not a current concern even as prices may follow normal seasonal increases.
“Current stock levels in Maharashtra, Madhya Pradesh and Gujarat are adequate. At present, there are no indications of any shortage of stored onions,” the ministry said. Daily mandi arrivals across India remain robust at over 50,000 metric tonnes, with Maharashtra alone reporting more than 30,000 tonnes; average modal prices at mandis are about Rs 18 per kg. The all-India average retail price stands at around Rs 31 per kg.
Better-quality stocks are still in storage and are expected to be released during the lean period to moderate supplies. Exports were described as normal, with roughly 1.50 LMT shipped in June, though traders warned exports may slow briefly because fresh crops from Pakistan and China are competitively priced in key markets such as the Gulf, Sri Lanka and the Far East.
The government noted regional sowing delays: Nashik has seen about a 15-day setback in Kharif sowing, while the Chitradurga–Challakere belt in Karnataka is about 60% of normal. A delayed monsoon and below‑normal rainfall in some areas have prompted speculative buying by some traders, but the ministry said there is no significant demand at current price levels in major consuming centres.
IANS
Original Source: https://theshillongtimes.com/2026/07/04/centre-hikes-onion-procurement-price-by-13-pc-to-rs-2125-per-quintal/
Category: NATIONAL,News Alert
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Publish Date: 2026-07-04 13:40:00
