Government Will Import One Lakh Tonnes of Onions to Control Price Rise

The Centre on Saturday (9 November 2019) said it will import 1 lakh tonnes of onion to control the prices that have increased sharply to around Rs. 100 per kg at some places, including Delhi.

The state-owned trading company MMTC will import onions and the cooperative Nafed will supply it in the domestic market. This decision in this regard was taken at a meeting of a committee of secretaries yesterday.

Food & Consumer Affairs Minister, Ram Vilas Paswan in a tweet said that "The government has taken the decision to import 1 lakh tonnes of onion to control the prices". He also mentioned that the MMTC has been asked to import the vegetable and make it available for distribution in the domestic market, between 15 November & 15 December period.

The minister told Nafed has been asked to supply imported onions all over the country.

Few days back, the Centre had said it will import ‘substantial’ quantity of the key kitchen staple from the UAE & other countries to increase the domestic availability.

As per the MMTC, one tender will close on 14 November while the other on 18 November. The 1st shipment of 2,000 tonnes must arrive at Indian ports immediately and the 2nd one will be delivered by December-end.

Bidders must quote for a minimum quantity of 500 tonnes. For inland container depot, the minimum bid quantity will be 250 tonnes. The accurate supply order will be regulated in units of 250 tonnes, depending upon the need.

It added fresh onion can be imported from any nation but the shipment should follow the phytosanitary & fumigation conditions.

The Centre is also trying to facilitate onions import through private traders from Afghanistan, Egypt, Iran and Turkey, for which phytosanitary & fumigation rules have been liberalized till 30 November.

Onion prices have increased sharply for over a month because of tight supply and heavy rainfall in key producing states - Maharashtra and Karnataka. The retail prices of onion went up to Rs. 100 / kg in Delhi and ruling in the range of Rs. 60 to 80 / kg in other parts of India, as per the trade data.