Onions take a dip

As onion prices turn southwards, vegetable traders in the city have hastily cancelled off their import orders from Pakistan

There is finally some relief on the kitchen front.

Director of Agricultural Produce Marketing Committee (APMC), Ashok Walung, confirmed yesterday that the prices of onions have fallen in the retail market and will continue to do so, mimicking the trend of wholesale onions prices becoming cheaper.


A notice on the wall of a restaurant at Parel spells out the state of affairs of a city battling a severe shortage of onions

Yesterday saw a decrease in the prices by almost Rs 15 per kg, with the rates settling between Rs 50 and 55 per kg at Dadar and Pali Hill respectively, down from Rs 65 and Rs 80.

Pappu, a retailer from Pali Hill said, "I'm now selling red onions for Rs 55 per kg. But the prices of white and dry onions are still a little high. They are selling at Rs 80 per kg."

Walung attributed the fall in prices to the easing out of rates in the wholesale market. "Onions are selling at around Rs 25-45/kg in APMC," he informed.

Traders speak

Ahmed Khan (name changed), member of a trade group association, said,u00a0 "Few days back we had placed orders with Pakistani traders to import onions from Karachi.
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The imported onions would cost us about Rs 35-40 per kg, at the unloading stage. But since the rates in the local markets are less than that, I've cancelled my orders."

According to Nitin Pakakh, another trader and owner of two shops in APMC, Pakistan has seen a good onion crop this year. "My friend was importing about 500 tonnes of onions from Pakistan.
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But onion rates plummeted on their way to Mumbai, so he immediately re-sold the stock in Colombo's market."

Asked about the fate of onion imports that have already come in, Walung denied any knowledge of the same.

However, Khan claimed that around 12 containers carrying 150 tonnes of onions have already arrived in Nhava-Sheva port and will lead to great losses for the importers. But his claims are yet to be confirmed.

Meanwhile, the Centre this week banned onion exports and abolished import duties to boost domestic supply and curb rising prices.