Onion prices surge by 50% in 10 days, expected to stay high until supplies improve

The retail prices of onions have surged by 25-50% in the National Capital Region, with the current cost ranging from Rs 50-70 per kilogram, contingent on the quality.

Not in Delhi, the price of onions has witnessed a sharp increase in Visakhapatnam as well, doubling from 25 per kilogram to 50 rupees per kg. The trend appears similar to that of tomatoes, which surged to 150 per kg a few months ago.

This price hike coincided with the culmination of the 10-day Navratra festival, culminating in Dussehra celebrations.

According to a Businessline report, Kapil Tyagi, the owner of a daily needs shop in a residential society in Noida, Uttar Pradesh, noted the price increase, stating that just three days ago, the cost was Rs 40 per kilogram, but now it stands at Rs 50 per kilogram. Similar price increases have been observed in local markets and Mother Dairy's Safal outlets.

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In Noida's retail market, inferior quality onions are being sold for Rs 50 per kilogram, medium-quality for Rs 60 per kilogram, and superior quality for Rs 70 per kilogram. Meanwhile, Mother Dairy raised the rate to Rs 56 per kilogram in Noida, up from Rs 49 per kilogram on Tuesday, Rs 45 per kilogram on October 20, and Rs 42 per kilogram prior to the Navratri festival.

The report further says an onion expert, R. K. Gupta, highlighted that the onion prices were around Rs 40 per kilogram before Navratri and have now reached Rs 60 per kilogram in the National Capital Region. While prices surged in Maharashtra's producing region due to a 36% decrease in sowing area, subdued demand during Navratri has prevented even higher price increases. It is expected that the late-kharif crop, arriving from the last week of November, will help boost availability.