With the onion price showing no sign of coming down, the State Government on Saturday asked Collectors to go for market intervention to check its further rise.
The Collectors have been asked to select a few public distribution outlets and model fair price shops of the Odisha State Civil Supplies Corporation (OSCSC) at block, sub-division and district headquarters levels for selling onion on no-profit-no-loss basis.
“Such an intervention will soften the price hike and minimise the gap between the wholesale and retail prices of onion,” Food, Supplies and Consumer Welfare Secretary MS Padhi told this paper.
The selected PDS outlets will be allowed to purchase onion from the local wholesale traders at a negotiated price and sell it on no-loss-no-profit basis. These outlets will be allowed to charge maximum ` 2 per kg on the wholesale price to cover their costs, he said.
Each consumer will be given one kg of onion for a week on production of ration card. The current price of onion is hovering between Rs 50 and 55 per kg in different markets of the State.
The Government intervention will be marginal to retail level. There is limited scope for the Government to make intervention at the wholesale level.
The Collectors have been advised to track the source price and wholesale price of onion before going for market intervention. The PDS outlets and fair price shops dealing with onion should be instructed to report the sale price range on weekly basis to the Government.
The Collectors have also been asked to give adequate publicity about the new arrangement so that maximum people can benefit.
“This arrangement will continue till September 30 and further decision will be taken after review of the situation,” Padhi said.