Dwindling supply has pushed up the cost of onions in the city.
On Saturday, a kg of onions was priced at ₹40 in the wholesale market. In the retail market it sold around ₹45, traders said. However, some shops were also selling it at ₹50 per kg.
According to A. Balu, president of the Vellore Town Nethaji Market Kaikari Vyabarigal Sangam, two days ago, the rate of one bag of onions (50 kg) fell by ₹50 to ₹100 in the city. One bag was priced at ₹1,500 to ₹2,000.
“However, the rates increased on Friday and Saturday by ₹100 to ₹200. A bag of onions costs ₹1,800 to ₹2,200 now.
“The cost has been high since last month. Though there was a dip in the price for a few days, it has shot up again,” he said.
₹60 a kg in November
During the end of November, the price of onions was ₹60 a kg in the retail market.
“We are getting onions only from Maharashtra. There are no onions from Andhra Pradesh and Karnataka. The onions were damaged in the rain in AP. As a result, we have to rely on supply from Maharashtra. The rates are high there, resulting in high prices here too,” he explained.
The rates will continue to be high for some more time, he added. “The prices will start to drop only if the supply from Maharashtra improves. Reduction in export of onions will also help in reducing the prices,” he said.
Meanwhile, the price of tomatoes has dropped due to better supply. A box of (25 kg) tomatoes costs ₹200 to ₹250. In the retail market, the price was around ₹10 per kg, he added.
