Govt Projects 2.5% Rise in Tur, 20% Surge in Kharif Moong, and Stable Onion Production for 2024-25

Government is actively monitoring the prices and availability of essential food commodities to ensure affordability for consumers and maintain stable prices. Encouraged by favorable weather conditions and a good monsoon, the production of key crops such as pulses and onions is estimated to rise in 2024-25 compared to the previous year. Tur production is projected to increase by 2.5% to 35.02 LMT, while Kharif Moong production is estimated at 13.83 LMT, a notable 20% growth from the previous year. Similarly, Kharif and Rabi onion sowing has shown positive trends, ensuring better supply in the coming months.

The year 2024 closed with encouraging economic indicators, as retail inflation dropped to 5.22% in December, significantly lower than the peak of 6.21% in October. Food inflation also declined from 10.87% in October to 8.39% in December. The annual average retail inflation rate of 4.95% in 2024 was a marked improvement compared to 6.69% in 2022 and 5.65% in 2023. These figures demonstrate effective management of food prices, successfully addressing challenges from previous years' El Niño effects, inconsistent monsoons, and trade disruptions.

To address the challenges stemming from low domestic production of pulses and onions in 2023-24, the government implemented several proactive measures. The Department of Agriculture and Farmers Welfare removed procurement ceilings under the Price Support Scheme for pulses like Tur, Urad, and Masur, guaranteeing 100% procurement at the Minimum Support Price (MSP) for the 2024-25 season.

Pre-registration initiatives, seed distribution, and awareness programs further boosted production in non-traditional pulse-growing regions. Additionally, duty-free import policies for pulses were extended until March 2025, and targeted imports of Yellow Peas and Chana were facilitated to meet specific shortfalls. These efforts helped reduce the Consumer Price Index (CPI) pulses inflation rate from 19.54% in January 2024 to 3.83% in December 2024.

For onions, the government procured 470,000 tonnes of Rabi onions for buffer stock at an average procurement price of Rs 2,833 per quintal, benefiting farmers and supporting domestic supply. Onions were distributed through retail outlets and mobile vans at affordable prices, and export policies were calibrated to balance domestic availability.

To manage onion prices, the government took steps like temporary export bans, setting minimum export prices, and adjusting export duties. These actions led to a noticeable rise in onion exports, from 72,000 tonnes in September to 168,000 tonnes in December 2024.