Odisha Battles Onion Price Surge, Plans Sales at Rs 30 per Kg Through NAFED

Bhubaneswar: The surge in onion prices in Odisha has sparked concern among consumers, with the Food Supplies and Consumer Welfare Minister, Krushna Chandra Patra, attributing the hike to elevated rates in key onion-producing regions like Nashik.

Minister Patra stated, “Onion prices are high even in Nashik, with rates reaching Rs 45 per kilogram. Since Odisha doesn’t produce onions domestically, we rely on imports. Efforts are being made to sell onions at Rs 30 per kilogram through NAFED,” as the government seeks to stabilize the market and provide relief to consumers.

According to reports, the state has seen a sharp price increase, with the cost rising by Rs 30 per kilogram within just 15 days. As of now, wholesale prices stand at Rs 70 per kilogram, catching many off guard, especially considering the typically low demand for onions during the Kartik month.

Odisha’s reliance on imports to meet its annual demand of 5 lakh metric tons of onions has exacerbated the situation. While the state produces around 60,000 tons of onions annually, primarily in Titlagarh and Angul districts, this local production is far from sufficient to meet the full demand. To compensate, Odisha depends on neighboring states like Andhra Pradesh and Maharashtra, with about 20 trucks arriving daily. Cuttack’s Chhatrabazaar alone receives 5 trucks per day, translating to approximately 80-100 tons of onions entering the market.

Currently, onion prices in Odisha vary significantly across different markets, ranging from Rs 40 to Rs 65 per kilogram. The average market price is Rs 53.9 per kilogram, with prices peaking at Rs 65 per kilogram in Kamakhyanagar and Hindol, and the lowest at Rs 40 per kilogram in Balugaon.