In India, the Ministry of Consumer Affairs, Food & Public Distribution has implemented a uniform weekly procurement rate for onions across different states, following farmer protests against inconsistent procurement prices. The National Agricultural Cooperative Marketing Federation of India Limited (NAFED) and the National Co-operative Consumers' Federation of India Limited (NCCF) are set to purchase onions at Rs 2,940 per 100 kg in Maharashtra. This decision is part of the ministry's efforts under the Price Stabilisation Fund (PSF) to procure around five lakh tonnes of onions nationwide, aiming to stabilize prices and reduce disparities previously caused by daily district-wise rates.
Despite these measures, challenges such as payment delays and the procurement process's focus on Farmer Producer Companies and Onion Producers Societies over individual farmers or open markets have limited its effectiveness. Market prices for high-quality onions remain higher than the government's procurement rate.
Stakeholders like Kuber Jadhav and Bharat Dighole have voiced concerns over the procurement strategy and its impact on farmers, suggesting alternative approaches like market committee bidding to better align government rates with market conditions and address broader inflation issues.
[ Rs 100 = €1.10 ]
Source: punekarnews.in