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This is an archive article published on October 21, 1998

Onion sets the mark for greens

NEW DELHI, October 20: If onion is currently being sold for Rs 48-50 per kg in the Capital's open market, none of the other common vegeta...

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NEW DELHI, October 20: If onion is currently being sold for Rs 48-50 per kg in the Capital’s open market, none of the other common vegetables is available for less than Rs 15. Also, the rates for vegetables — except for onion — in Mother Diary outlets are almost at par with that in the open market.

Both the Delhi Government and traders had promised in early October that the onion price graph would show a downswing from Diwali onwards. But a day after the festival, their assurances have been proved hollow.

And the brouhaha surrounding the onion crisis has muffled escalating prices of vegetables like capsicum (Rs 60 per kg at Gole Market and Rs 40 per kg at INA Market), tomato (Rs 20), potato (Rs 16), French Bean (Rs 40) and common gourd, louki (Rs 16) in the open market.

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Though there was no trading at the Azadpur wholesale market today, the onion sold in the open market was part of yesterday’s consignment. Wholesale rates yesterday ranged from Rs 35 to Rs 38 per kg, and Rs 40-42 in the open market.

But by the time the vegetable reached a vegetable-seller’s weighing machine in areas like INA Colony, Sarojini Nagar, Gole Market and Daryaganj today, prices had shot up to between Rs 48 and Rs 50.

Neither the government nor the traders have an explanation for this sudden price rise, though both sides blame each other. Says R.K. Sharma, general secretary of the Onion and Potato Merchants Association: “Since last week the Government has been buying an average of 150 tonne of onion daily from Azadpur. As a result, the stock available for retailers has dwindled by almost 40 per cent. Also, the total supply to Azadpur remains static”.

A senior official in the Food and Civil Supplies department, however, defends the government’s buying spree, saying it will stabilise the market.“The Government is buying onion so that the vegetable can be sold through the subsidised counters for Rs 10 per kg. Once the city is flooded with subsidised onion, wholesalers will be forced to lower their rates”.

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What the official does not mention is that onion consignment from NAFED to the Delhi Government have decreased to 44 tonne from 100 tonne daily. And that Chief Minister Sushma Swaraj had to go onion-shopping in Azadpur on Friday to sustain the subsidy counters.

Vegetable-sellers like Munna in Gole Market say that high onion rates, mean lower profit margins. Added to this is the fact that the most customers no longer buy onion in kg from retailers, or prefer queuing up at the Government subsidy counters.

“The only way I can maintain my daily income is by adjusting prices of other vegetables,” says Munna.“We were told that the situation would change after Diwali. But when now ”?

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