Efforts to ease onion prices bearing results, says government
The Ministry of Consumer Affairs claimed that the onion prices in the country are now cheaper than the previous its efforts. The government has released more than 50% of the buffer stock of 2.08 lakh tonnes onion in the market.
Onion prices had started rising from the first week of October, 2021, due to rains that disrupted the supply chain. “In order to cool down prices, the Department of Consumer Affairs has taken up calibrated and targeted release of onions from the buffer on First-in-First-Out (FIFO) principle, guided by the twin objectives of moderating prices and ensuring minimal storage loss,” said the Department of Consumer Affairs in a release.
“Prices of onion are cheaper than last year. Onion prices are being stabilised through Buffer stock operations. Efforts of Centre to ease Onion Prices bearing results,” said the Ministry.
Uncertainty about extension of stock limit on pulses prevails
The pulses trading industry is unsure whether the stock holding limit on pulses–imposed by the government in July to tame inflation in food prices–will be extended. The order on stock holding limit was valid till October 31.
Stock limit on pulses and cooking oils was one of several policy measures taken by the government to tame inflation in the prices of food commodities.
Some of the major price control policy measures taken by the central government, such as ban on trading of chana on the NCDEX, opening of import and the imposition of stock limit have a bearing on prices of pulses. Stock limit was imposed on tur, chana, urad and masur till October 31.