Imports of onion from Egypt and Afghanistan have impacted domestic prices, which cascaded from nearly Rs. 5,500 per quintal (for best quality onions) to Rs. 2,800. Angry onion growers on Wednesday staged a sudden rasta-roko agitation and stalled auctions in protest at the Agriculture Produce Marketing Committee (APMC) yard here.
The farmers blocked traffic for half an hour and burnt a tyre in front of the APMC, alleging traders and middlemen of exploiting them. They said every time the farmers took their yields to the market, the traders brought down the prices in connivance with each other.
The prices of the crop fell from Rs. 5,500 per quintal two months ago to Rs. 4,600 per quintal after a month, plunging further to Rs. 3,600 last week. On Wednesday, the prices fell further to Rs. 2,800 to Rs. 2,200 per quintal depending on the quality and size. The lowest quality consisting of small-size onions were offered at only Rs. 1,000 per quintal, the farmers said.
They demanded Rs. 3,500 per quintal or a price at par with what was offered in Hubballi APMC — where it was Rs. 3,200 per quintal on Wednesday.
Import impact
However, APMC Chairman Shivangouda Patil said the fall in prices was due to onion imports from Egypt and Afghanistan, affecting the domestic markets in north Karnataka region, which was a major producer of red onions and exports its produce to Mumbai, Delhi and Kolkata. As imported onions have started arriving in the metropolitan cities, traders there had cut down their procurement from the south, leading to large stocks in wholesale markets and the fall in prices.
Another reason was the fresh arrivals of onions. On Wednesday, as many as 300 trucks, each carrying nearly 200 bags of 50 kg each, arrived at the APMC.
“Prices are relatively higher in Hubballi because of good quality of onions. However, we have asked the traders to offer better prices and convinced farmers to withdraw their agitation,” Mr. Patil said.
