Onion prices set to fall

800 tons of import stock from Pakistan and Pune crop will hit markets next week

Pakistan's ban on land route exports to India might have the North troubled for onions, but you are definitely gaining. The onion imports from Pakistan via sea have never been higher.

In the last three days, more that 800 tons of onions from Karachi have reached the city shores.

Some of the stock out of these 800 tons that has been released is said to be one of the reasons why wholesale prices of onion fell by another Rs 5/kg yesterday.


Wholesale rate for onions may reach Rs 20/kg by the month end

Onions are now selling between Rs 20 and Rs 30 per kg in the wholesale market.

If 800 tons of onions are released in the market next week, then, combined with the arrival of Pune crop into Mumbai markets, onion prices are bound to fall further.

A senior customs official, requesting anonymity, said, "After 21st, when the import duty was removed, the imports increased.
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However, in the last few days, the imports have become almost regular. About 150 to 200 tons of onions are coming in everyday."

Nitin Parakh, an Agriculture Produce Marketing Committee (APMC) trader, said, "The Pakistani batch came in reefers (refrigerated containers) and so the quality was okay.

They were selling in the market for Rs 28/kg."

APMC Director Ashok Walunj said, "Because of the imports reaching the market, the rates have fallen down and onions are selling between Rs 20 and Rs 32 per kg.
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The expected Pune crop will start coming into the market in another two days and prices will fall much further."u00a0

However, S N Maharana, chief manager of operations, JNPT refused to comment on the arrival of 800 tons of onions at the port, "All I am allowed to say is that 21 out of 35 containers (each container contains about 10 tons of onions) have been cleared from the port."

But the trading community backed the fact. Moin Suleman, a frequent importer, who himself has 58 tons of onions at the port, said, "According to my sources, up to a thousand tons of onions are definitely at the port at this time."

Another trader, Venkatraman, said, "Onion prices are reducing gradually because of the arrival of late kharif crop in Maharashtra and Gujarat. The arrivals continue to improve and before month end, wholesale rates will be below Rs 20/kg."

However, retailers are still selling onions at a higher rate. Nandu Gupta, a shopkeeper said, "I'm getting onions at Dadar wholesale market between Rs 20 and Rs 35 per kg, but the retail price is still Rs 50/kg."