Government to begin procurement of 5 lakh tonnes of rabi onion in 2-3 days to protect farmers' interest
mandi prices in view of extension of onion export ban, the government on Tuesday assured farmers that it will start procurement of 5 lakh tonnes of rabi onion in next 2-3 days to protect their interest. Last week, the commerce ministry extended the ban on onion export till further orders. The ban on onion shipment was valid till March 31.
«We want to assure farmers that their concern will be taken care of. ...We will begin procurement of 5 lakh tonne of rabi (winter) crop in the next 2-3 days for maintaining a buffer stock,» Consumer Affairs Secretary Rohit Kumar Singh told reporters.
The onion export ban is affecting traders and not farmers as average mandi (wholesale) prices are ruling currently at around Rs 13-15/kg in Maharasthra, which is almost double from the previous year level, he said.
«Even if prices crash, we will protect the interest of farmers,» he added.
The secretary said the government normally buys onion for the buffer stock at a prevailing mandi rates. However if the rates fall below the cost of production, the government will ensure their cost is covered at least.
In 2023-24, the government had procured 6.4 lakh tonnes of onion (both rabi and kharif crops) for the buffer stock at an average rate of Rs 17 per kg. Almost entire quantity has been disposed off, he said.
Nidhi Khare, Officer on Special Duty in the Consumer Affairs Ministry, said the onion procurement during the last year was done in June but this year it is going to kick-start early in the next two days.
Two nodal cooperative
