Government releases onion buffer stocks via trains as retail prices surge nationwide

New Delhi: The Centre began selling onions at Rs 35 per kg in Delhi on Thursday, offering consumers a 44 percent discount to the prevailing market price of Rs 62 per kg.Discounted sale beginsThe intervention aims to ease household expenses and curb the seasonal rise in onion prices. Supplies are being released from the government’s buffer stock through Nafed, NCCF and Kendriya Bhandar. Mother Dairy will also offer discounted onions at its Safal outlets.Consumer Affairs Secretary Nidhi Khare flagged off small trucks carrying the produce. She attributed the price rise to black marketing, hoarding and profiteering, while assuring consumers that supplies were sufficient for the festive period.Khare said the government was not considering an export ban because there was no shortage. India exported 3.82 lakh tonnes of onions during April-June 2026.Kanda Express boosts supplyThe Centre is also moving bulk consignments to Delhi through railway rakes called the Kanda Express. The first train, carrying 800 tonnes from Nashik, was expected to reach the capital on Thursday.The Department of Consumer Affairs said domestic availability would remain comfortable over the coming months. Onion production is estimated at 307.37 lakh tonnes in 2025-26, below 307.67 lakh tonnes in the previous year.Buffer release targets pricesThe government has procured about 1.21 lakh tonnes for its onion buffer and started a targeted release to improve availability and moderate prices. Government To Sell Onions At ₹35/Kg In Delhi, Kanda Express Brings 800 Tonnes WednesdayThe Central Warehousing Corporation has been appointed as the storage agency for the onion buffer for the first time during 2026-27.Officials said demand normally increases during Onam, Ganesh Chaturthi, Durga Puja, Dussehra, Diwali and the wedding season. Supply-chain pressures can also push rates higher during this period.The department is monitoring prices, market arrivals and stocks across states to protect consumers and farmers. It said robust output, buffer availability and market intervention should contain seasonal pressure. Further measures will be taken if required to prevent unjustified price increases and maintain adequate supplies nationwide.

Indore (Madhya Pradesh): Onion prices are pinching household budgets in Indore, with retail rates touching Rs 70 per kg in some areas despite considerably lower wholesale prices at Choithram Mandi.The wide wholesale-retail gap has raised questions over the pricing chain between the mandi and neighbourhood markets. Traders attribute the pressure partly to rainfall and seasonal changes, while mandi officials maintain there is no significant shortage.Retail prices range from Rs 30 to Rs 40 per kg in several parts of the city but have touched Rs 60 to Rs 70 per kg in some upscale areas.At Malwa Mill Vegetable Market and Rajkumar Sabzi Mandi, onions are selling for Rs 30 to Rs 40 per kg, while the rate is around Rs 40 per kg in Niranjanpur and Gorakund. At Scheme No 140, consumers are paying nearly Rs 50 per kg.Prices have touched Rs 70 per kg in Saket and Mahalaxmi Nagar and around Rs 60 per kg at Bengali Square. At Anand Bazaar, onions are selling for Rs 50 to Rs 60 per kg.Retail prices rise rapidly in just a few daysRetail vegetable vendor Deepak Pandey said the increase has been particularly noticeable since Friday.“The price was around Rs 32 per kg on Friday. By Monday, it had reached Rs 38, and by Wednesday it was selling at Rs 40–50 per kg,” Pandey said.He added that if the current trend continues, retail onion prices could climb further to Rs 60–80 per kg.The sudden rise has added to household pressure at a time when consumers are already dealing with increases in prices of several food items.Mandi rates tell a different storyDespite the sharp increase in retail prices, wholesale onion prices at Choithram Mandi have not surged. Mandi official Manoj Panwar said there was no major reason for a sudden rise in onion prices at present.“There is no significant reason for the rise in onion prices. During the change of season in the monsoon, rates generally rise every year. At present, supply and demand are adequate and normal,” Panwar said.According to him, farmers may have marginally increased wholesale rates, but there is no indication of a major supply disruption.Wholesale traders, however, said continuous rainfall in surrounding areas could affect onion availability and transportation in the coming days. If the weather remains unfavourable, its impact could become visible in Indore's retail markets over the next two to three days.Rates in last seven daysDateModal Rate (Rs /quintal)Minimum (Rs /quintal)Maximum (Rs /quintal)Change25 Aug 2026Rs 3,548Rs 401Rs 4,187? 5.9%24 Aug 2026Rs 3,770Rs 418Rs 4,144? 11.7%22 Aug 2026Rs 3,376Rs 407Rs 3,836? 17.8%21 Aug 2026Rs 2,865Rs 400Rs 3,646? 7.6%20 Aug 2026Rs 3,101Rs 400Rs 3,607? 14.2%19 Aug 2026Rs 3,614Rs 401Rs 3,822? 3.0%18 Aug 2026Rs 3,508Rs 396Rs 3,962The modal wholesale rate stood at Rs 3,548 per quintal on August 25, down by Rs 222 from Rs 3,770 per quintal on August 24.What consumers are payingArea / MarketRetail Onion PriceChoithram Mandi (wholesale)Rs 20–38/kgMalwa MillRs 30–40/kgRajkumar MarketRs 30–40/kgNiranjanpurAround Rs 40/kgGorakundAround Rs 40/kgMonday Haat MarketAround Rs 40/kgScheme No. 140Around Rs 50/kgAnand BazaarRs 50–60/kgBengali SquareAround Rs 60/kgSaket Vegetable MarketUp to Rs 70/kgMahalaxmi Nagar, Vijay NagarUp to Rs 70/kgWhat is driving the prices?Rainfall: Continuous rain in onion-producing and surrounding areas may affect availability and transportation.Seasonal change: Mandi officials say onion prices generally witness some movement during the monsoon season and seasonal transition.Retail price gap: Wholesale rates remain considerably lower than the prices being charged in several retail markets.Supply-demand: Officials say current supply and demand remain adequate, with no major shortage reported so far.Indore Online Betting Case: Dubai Link Emerges As Police Arrest 12th Suspect; Over 40 Bookies On Radar

Mumbai: The Centre will sell onions at a subsidised Rs 35 per kg in Delhi as it moves to curb a sharp seasonal increase in prices. The rate represents a discount of about 36 percent to Tuesday’s average retail price in the national capital.Consumer Affairs Secretary Nidhi Khare said Nafed, NCCF and Kendriya Bhandar outlets would undertake the retail intervention. The first 'Kanda Express', carrying 800 tonnes of onions, is scheduled to reach Delhi on Wednesday.Rail Supplies WidenedDedicated railway rakes are also transporting bulk supplies to Chennai, Ernakulam, Madurai and Guwahati. The onions are being released from the Centre’s buffer stock maintained in Nashik, Maharashtra, to improve availability across major consuming markets.India’s average retail onion price rose more than 28 percent within a month to Rs 44.72 per kg on August 25, from Rs 34.80 on July 25. The rate was Rs 28.67 a year earlier, marking a 56 percent annual increase.On Tuesday, onions retailed at Rs 60 per kg in Chennai, Rs 55 in Delhi, Rs 60 in Kolkata, Rs 48 in Mumbai and Rs 38 in Ranchi. Corresponding year-earlier prices were Rs 35, Rs 33, Rs 32, Rs 32 and Rs 25, respectively.Onion Prices Cross ₹60 Per Kg, Here’s What Is Fuelling The Sudden SurgeWholesale Pressure PersistsThe average wholesale price climbed 63 percent year-on-year to Rs 36.73 per kg, from Rs 22.54, ministry data showed. It increased 33.5 percent over the past month.The Kanda Express programme began in 2024-25 to improve efficiency in large-scale onion transportation. That year, 14 rakes moved nearly 12,000 tonnes of buffer stocks to five cities. The network expanded in 2025-26 to 86 rakes carrying about 88,000 tonnes to 16 major cities. Sugar Prices Surge Ahead Of Festivals, Will The New 15-Day Stock Limit Bring Relief?Supply Outlook ComfortableThe Centre has maintained an onion buffer of about 1.21 lakh tonnes for 2026 under the Price Stabilisation Fund scheme. It expects domestic availability to remain comfortable, supported by estimated 2025-26 production of 307.37 lakh tonnes, broadly matching the preceding year’s 307.67 lakh tonnes.Prices generally rise from August to September because of festive demand, weather disruptions, supply-chain movements and changing consumption patterns.

Onion stocks were adversely affected when Mahrashtra, the largest onion producing state, witnessed unseasonal rains and hailstorms.

Mumbai: Onion prices are rising sharply across India as weather-related crop damage, faster depletion of stored stocks and stronger seasonal demand squeeze market supplies. Retail prices have crossed Rs 60 per kg in several major cities, putting additional pressure on household budgets.Unseasonal Rains Damage Rabi CropUnseasonal rain and hailstorms in Maharashtra during March and April damaged the late Rabi onion crop. Maharashtra is one of India’s largest onion-producing states and plays a crucial role in maintaining supplies nationwide.The severe weather not only affected overall output but also reduced the quality and storage life of harvested onions. A considerable portion of the damaged crop reportedly began deteriorating much earlier than expected.Stored Stocks Deplete FasterIndia depends heavily on Rabi onions, harvested between March and April, to meet demand until the next major crop reaches markets around October.However, damage to the stored crop has led to stocks running out faster than usual. Lower arrivals in wholesale markets have consequently pushed up prices across the supply chain. Onion Prices Jump Up To 40% In A Week, Check Latest Rates In Major CitiesKharif Production Raises ConcernsSupply worries have been further heightened by reports suggesting that Maharashtra’s Kharif onion production could decline by around 5 percent to 7 percent.Any fall in Kharif output could delay meaningful price relief, especially if fresh crop arrivals remain limited or are disrupted by adverse weather.Festive Demand Adds PressureOnion prices traditionally increase during August and September because market arrivals tend to decline during this period.At the same time, household and commercial demand rises ahead of the festive season. The combination of weaker availability and stronger consumption has intensified the current price surge. Indore Vegetable Prices Soar: Garlic Up 30%, Onion Prices Jump 58% In Five WeeksGovernment Releases Buffer StocksTo cool prices, the central government has started releasing onions from its buffer stocks into key consumption markets.It has also deployed dedicated freight trains, known as the Kanda Express, to transport bulk onion supplies directly from Nashik to high-demand urban centres. The initiative is expected to improve availability, reduce transportation delays and provide some relief to consumers in the coming days.

Mumbai: Onion prices are rising sharply across India as weather-related crop damage, faster depletion of stored stocks and stronger seasonal demand squeeze market supplies. Retail prices have crossed Rs 60 per kg in several major cities, putting additional pressure on household budgets.Unseasonal Rains Damage Rabi CropUnseasonal rain and hailstorms in Maharashtra during March and April damaged the late Rabi onion crop. Maharashtra is one of India’s largest onion-producing states and plays a crucial role in maintaining supplies nationwide.The severe weather not only affected overall output but also reduced the quality and storage life of harvested onions. A considerable portion of the damaged crop reportedly began deteriorating much earlier than expected.Stored Stocks Deplete FasterIndia depends heavily on Rabi onions, harvested between March and April, to meet demand until the next major crop reaches markets around October.However, damage to the stored crop has led to stocks running out faster than usual. Lower arrivals in wholesale markets have consequently pushed up prices across the supply chain. Onion Prices Jump Up To 40% In A Week, Check Latest Rates In Major CitiesKharif Production Raises ConcernsSupply worries have been further heightened by reports suggesting that Maharashtra’s Kharif onion production could decline by around 5 percent to 7 percent.Any fall in Kharif output could delay meaningful price relief, especially if fresh crop arrivals remain limited or are disrupted by adverse weather.Festive Demand Adds PressureOnion prices traditionally increase during August and September because market arrivals tend to decline during this period.At the same time, household and commercial demand rises ahead of the festive season. The combination of weaker availability and stronger consumption has intensified the current price surge. Indore Vegetable Prices Soar: Garlic Up 30%, Onion Prices Jump 58% In Five WeeksGovernment Releases Buffer StocksTo cool prices, the central government has started releasing onions from its buffer stocks into key consumption markets.It has also deployed dedicated freight trains, known as the Kanda Express, to transport bulk onion supplies directly from Nashik to high-demand urban centres. The initiative is expected to improve availability, reduce transportation delays and provide some relief to consumers in the coming days.