At a time when onion prices have crossed Rs90 (€1.17) a kilogram in Chennai, the government on Monday said it would take action against traders hoarding onions or selling them at higher prices.
Retailers holding more than 10 tonnes and wholesalers stocking up more than 50 tonnes will be dealt with, the government said. Special committees led by civil supplies assistant commissioners have been constituted for checks in every district.
Upset with the steep decline in the price of onions, farmers from across North Karnataka blocked traffic on Hubballi-Dharwad Road on Monday to protest against the traders at the Agricultural Produce Market Committee (APMC), Amargol. The farmers alleged that all the traders were conspiring together to deny them a fair price for their
The farmers alleged that the traders were bidding less than Rs 3,000 per 100 kgs of onion, regardless of the quality of the crop. The rioters argued that all the traders were in cahoots with each other, and were trying to rob them of profit. Pointing to the wholesale price being offered for onions in Hyderabad and other cities, the farmers said, "The wholesale price of one 100 kgs of onion in Hyderabad is Rs 7,000, but it is less than half of that in Hubballi. How is this even possible? When the demand for onion in the retail market is high, how can the traders bid such low prices for our crop. They are misleading the farmers."