Indian farmers seek subsidy after onion prices plummet
Now, the farmers want the government to intervene and increase export of onions through central agencies. They also want the subsidy to be extended up to 25% on onion exports, along with a grant of Rs 1,000 per quintal to farmers.
An official from Lasalgaon APMC blamed the low price on low quality onions saying, "Good quality onions are being sold in the range of Rs 400 to Rs 550 per quintal. The onions sold at Rs 101 per quintal or Re 1 per kg at Lasalgaon on Tuesday were of poor quality."
The cost of production for growing onions is around Rs 950 per quintal and farmers incur losses if they get price below that. The government has extended a 5% subsidy for onion exporters up to March 31, but the average wholesale onion prices have continued decline due to high arrivals.
source: timesofindia.indiatimes.com
