Onion prices surge at Kurnool wholesale market

Update: 2023-08-27 19:12 GMT
Onion prices in Kurnool experienced a significant fall in recent weeks, causing heartburns to local farmers. A promising price of Rs 3,700 per quintal has plummeted to Rs 1,900 a near 50 per cent fall. (Representational image: DC)

KURNOOL: In just one month following monsoon rains, wholesale onion prices in Kurnool have experienced a significant surge. Priced between ₹250–500 per quintal in July, they have now skyrocketed to around ₹1,400 to ₹3,000 per quintal, depending on the variety.

In AP, the Kurnool district is known as the hub of cultivating onions over 20,000–25,000 hectares. Due to untimely rains causing a dip in production, their wholesale prices have shot up by ₹30 per kg this week. Market prices of this kitchen staple are ranging between ₹35 to ₹50 per kg, compared to ₹30 per kg just a week ago.

Kurnool agricultural market yard is the largest onion trading market in the state. It received a meager 100–200 tonnes of onions, in stark contrast to over 1,500 tonnes received during the same period last year. The surge in onion prices is expected to continue till the end of November, primarily due to the low productivity of the onion crop.

Farmers in areas, such as Gonegandla, Nandavaram, and Yemmiganur, have suffered significant crop losses this year. Onion cultivation in Yemmiganur, Mantralayam, and Adoni has substantially decreased, from thousands of acres to just a few hundred acres.

This is because for two consecutive years – 2021 and 2022 – onion prices had dropped below ₹1,400–1,500 per quintal. This made farmers switch to other crops this year, resulting in a significant reduction in onion production in the district. Onions had been cultivated over only 7,000 hectares this year, down from around 15,000 hectares in 2021 and around 14,000 hectares in 2022.

To address the shortage, the state government has decided to import onions from Nasik in Maharashtra. It has already purchased 35 lakh metric tonnes of onions from both Andhra Pradesh and Telangana markets.

A senior marketing official said: “The issue with onions produced in Kurnool district is high moisture content. This hinders storage and export potential. Farmers need to cultivate onion varieties that can be stored over longer periods and are suitable for international markets. Neither the agriculture department nor authorities concerned seem to have taken any significant action in educating farmers in this regard.”

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