The government enhanced the onion buffer stock target from 3 lakh tonnes to 5 lakh tonnes this year.
The National Cooperative Consumers’ Federation of India (NCCF) on Saturday said it has purchased 2,826 tonnes of onion at Rs 2,410 per quintal directly from farmers in the last four days mostly from Maharashtra as it resumed procurement of the bulb for a higher buffer stock.The government enhanced the onion buffer stock target from 3 lakh tonnes to 5 lakh tonnes this year.
Two cooperatives, NCCF and NAFED, have been mandated to procure 1 lakh tonnes each directly from farmers at Rs 2,410 per quintal to avoid panic selling amid the imposition of an export curb to control domestic prices.The two cooperatives are also disposing of the government’s buffer stock of onion in both wholesale and retail markets to control the rising retail prices of onion, which at present are ruling up to Rs 60 per kg depending on the quality in Delhi and other cities.
Speaking with PTI, NCCF Managing Director Anice Joseph Chandra said the cooperative commenced the procurement directly from farmers on August 22 in both Maharashtra and Madhya Pradesh. Around 12-13 procurement centres have been opened in Maharashtra and more will be set up depending on the demand.”In the last four days, we purchased about 2,826 tonnes of onion mostly from Maharashtra. The target is to buy 1 lakh tonnes and we may procure more,” she said.NCCF is procuring onion directly from farmers at Rs 2410 per quintal, which is higher than the prevailing wholesale rate of Rs 1900-2000 per quintal, she added.In order to boost domestic availability and check rising retail prices, Joseph Chandra said NCCF is also selling the buffer onion stock in 11 states and union territory where prices are increasing and so far 6,450 tonnes of onion has been sold in the wholesale markets at the current mandi rates.
The 11 states and union territory include Delhi, Andhra Pradesh, Telangana, Odisha, Assam, Kerala, Tamil Nadu, Karnataka, Punjab, and West Bengal, she added.”We are retailing the onion buffer stock both through physical and e-auction mode to bring greater transparency. The first e-auction of onion was done on August 25 in Delhi-NCR and 36 tonnes were sold,” Joseph Chandra said.This will be replicated in two cities of Punjab in the coming days, she said and added that the cooperative is also trying to wholesale onion through NCDFI and Bhim portals.
On the retail front, NCCF said it has already started selling onions in Delhi-NCR and Hyderabad on a limited scale. This will be scaled up in the coming week.”Onions are being sold at a subsidised rate of Rs 25/kg without quantitative restrictions,” she added.On August 19, the government imposed a 40 per cent export duty on onions to restrict outward shipments and boost local availability amid apprehension about the Kharif output.
Source:financialexpress.com