Government buys 2.5 lakh tonnes of onion for buffer stock

NEW DELHI: The government has procured 2.5 lakh tonnes of onion from farmers to create buffer stocks for 2022-23 and will intervene in the market in case of rise in retail prices of onion.

Onion production is estimated to have risen to 31.70 million tonnes in 2021-22 from 26.64 million tonnes in the previous year, according to the government data.

"Beating past records, the Centre has procured 2.50 lakh tonnes of onion for the buffer in 2022-23. The onion buffer size in current year is 0.50 lakh tonnes higher than the 2 lakh tonnes created during 2021-22," Food and Consumer Affairs Ministry said in a statement.

The current rabi harvest onions were procured by the National Agricultural Cooperative Marketing Federation of India (NAFED) from farmers through the Farmer Producer Organisations (FPOs) in the onion growing states of Maharashtra, Gujarat and Madhya Pradesh.

"The stocks will be released through targeted open market sales and also offered to states/UTs and government agencies for supplies through retail outlets during the lean months (August-December) to moderate price rise," the ministry said.

The open market sales will be targeted towards states/cities where prices are increasing over the previous month.

"The price stabilisation buffer serves the twin objectives of providing remunerative prices to onion farmers and augmenting the availability of onions at affordable prices to the consumers," the statement said.

Onion is a semi perishable vegetable and post-harvest losses due to physiological weight loss, rotting and sprouting are estimated to be substantial.

Rabi onion crops harvested during April-June accounts for 65 per cent of India's onion production and meets the consumers' demand till kharif crop is harvested from October-November.

It is therefore vital to successfully store onion in order to ensure the regular supply, the ministry said.

To address the post-harvest losses of onions, including loss on account of sub-optimal storage and processing, the Department of Consumer Affairs has announced a Grand Challenge for development of "Technologies for Primary Processing, Storage and Valorisation of Onions".

The grand challenge on onions invites efficient and cost-effective solution for reducing the wastage from students (UG/PG/Diploma), research scholars, faculty members, startups and other individuals having interest in this area.