India: Wholesale onion prices drop at Lasalgaon

Days after the prices of onions skyrocketed all over India, the government banned the export of all varieties of onions. As a result, the onion prices declined below Rs 30 (€0.38) per kg level at Lasalgaon in Maharasthra.

Lasalgaon market is Asia’s largest wholesale market for onion and it also acts as an influencer of onion prices across India.

After the government banned export and imposed a stock limit on traders, the maximum wholesale rate of onion at Lasalgoan in Nasik district has declined from a peak of Rs 51 (€0.65) per kg during mid-September. Onion prices have been on a steady rise since August. The excess monsoon in key producer states like Karnataka, Maharashtra, Madhya Pradesh, Gujarat, Rajasthan, Uttar Pradesh, and Bihar, is being blamed for the rising prices. According to www.india.com, the government has taken several measures to boost its supply in the domestic market and contain price rise in retail markets, where the rates have shot up to Rs 60-70 per kg in the national capital and other parts.