India releases onion buffer stocks to control rising prices

The Indian government has initiated measures to control rising onion prices by increasing supply from buffer stocks. To facilitate distribution to major consumption centers, a mixed transport model is being utilized, including the ‘Kanda Express’ railway rakes and road transport via over 30 trucks.

In Delhi, Chief Minister Rekha Gupta announced that the central government will provide 1,000 metric tonnes of onions to the city. These will be sold to residents at a subsidized rate of 35 rupees per kilogram through fair price shops and special mobile vans across all 13 districts. This intervention follows heavy rains that damaged crops and drove retail prices in Delhi to between 50 and 60 rupees per kilogram.

Nationwide, the government is utilizing agencies such as NAFED and NCCF to conduct retail campaigns in cities including Delhi, Jaipur, Kolkata, Chennai, and others. So far, 669 metric tonnes have been sold from the buffer stock, including 223 metric tonnes to wholesale buyers and 446 metric tonnes to retail consumers. Authorities expect these increased supplies to stabilize market prices and provide relief to consumers.