Prices of big onion that reached more than Rs. 60 a kg (wholesale prices) dropped sharply on Saturday and Sunday because of increase in arrivals.
M. Rajendran, president of Thyagi Kumaran Market Vegetable Merchants’ Association, said that the wholesale price on Saturday ranged from Rs. 25 to Rs. 37 a kg for the arrivals from Karnataka and varied according to the quality.
The price of the onions from Maharashtra remained higher.
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But, arrivals from Karnataka have commenced and there is no shortage. With good rains this year, the production in Karnataka is good.
On Saturday, several wholesale merchants at the market did not unload the entire quantity because of the high arrivals.
This is expected to have an impact on the retail sales also soon.
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Though there were reports of onion price touching Rs. 80 or more in the city, it has started coming down now because of the Karnataka crop, he said.
On Sunday, the wholesale price of big onion (Karnataka arrivals) at the market was Rs. 35 a kg and that of Maharashtra production was Rs. 50 a kg.
The stock of Maharasthra onion was less.
There is rain in Karnataka and if it continues, it might damage the produce leading to price rise again.
However, arrivals have started from Nasik too and it is said that Nasik has a bumper crop, he added.