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Government Sends Buffer Onions to Cities as Prices Remain Elevated

Shortfalls in procurement and heavy storage losses have limited the buffer’s ability to restore normal prices.

Overview

  • The Centre began a calibrated release of buffer onions on August 24 and has moved stock by dedicated ‘‘Kanda Express’’ rakes and by road to major consumption centres.
  • Retail intervention has been expanded to 19 cities and Delhi will receive 1,000 metric tonnes to sell at ₹35 per kg through fair price shops and mobile vans to improve local availability.
  • The Price Stabilisation Fund aimed to procure 0.2 million tonnes of rabi onions but NAFED and NCCF together secured only 0.12 million tonnes, and roughly 30% of procured stock has been lost to rot or sprouting in storage.
  • Where consignments have reached markets consumers saw short-lived price relief but wholesale benchmarks such as Lasalgaon have rebounded and retail rates remain in the ₹50–70 per kg range.
  • Officials say the crisis shows limits of emergency sales and points to longer-term fixes—stronger procurement, better controlled storage and timed releases—while the government has also cut sugar dealer stock limits to deter hoarding.