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Wednesday / February 5. 2025

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HomePosts Tagged "national Agricultural Cooperative Marketing Federation of India Ltd (NAFED)"
AgroPolicy, India, Vegetables

Buffer stock sale and additional procurement to further keep prices under control.

Government of India’s decision to impose Minimum Export Price of US$ 800 per Metric Ton on onion with effect from October 29, 2023 till December 31, 2023 to discourage exports and maintain availability in domestic markets has shown an immediate impact of price correction in Maharashtra markets, where prices recorded a decline of 5 to 9 per cent from the highest price registered during last week. The weighted average price of onion in Maharashtra across all the markets has declined by 4.5 per cent and similar decline was observed in consumption centers as well.

The Department of Consumer Affairs is monitoring onion exports and prices on daily basis to ensure stable domestic prices and availability to consumers. In view of increasing demand in the month of November, Department has started releasing onion buffer stock into the market both through mandi sale and discounted sale to retail consumers at centers of high prices. This includes retail sale through 685 Mobile retail outlets covering over 170 cities. National Agricultural Cooperative Marketing Federation of India Ltd (NAFED) and National Cooperative Consumers’ Federation of India (NCCF) have also started procuring additional 2 Lakh Metric Tons (LMT) onion of kharif harvest to be distributed in high price centers to keep the onion prices under control and consumers interest is protected.

Buffer stock sale and additional procurement to

AgroPolicy, Finance, India, Trade, Vegetables

Government has also announced the procurement of additional 2 lakh tons of onion for the buffer, over and above the 5 lakh tons already procured.

The Government on October 28, 2023, notified Minimum Export Price (MEP) of US$ 800 per Metric Ton, Free on Board (FOB) basis, on onion export with effect from October 29, 2023, till December 31, 2023. The measure has been taken to maintain sufficient availability of onion to domestic consumers at affordable prices as the quantity of stored rabi 2023 onion is declining by curbing the quantity of onion exports. The MEP of US$ 800 per MT translates into about Rs 67 per kg.

Along with the decision to impose MEP on onion exports, the Government has also announced the procurement of additional 2 lakh tons of onion for the buffer, over and above the 5 lakh tons already procured. Onion from the buffer has been disposed continuously from the second week of August in major consumption centres all over the country, and also supplied to retail consumers at Rs.25 per kg through mobile vans operated by National Cooperative Consumers’ Federation of India (NCCF) and National Agricultural Cooperative Marketing Federation of India Ltd (NAFED). Till date about 1.70 lakh Metric Tons of onion has been disposed from the buffer.

The decision to impose the MEP of US$ 800 per MT shows the determination of the Government to keep onion affordable to the domestic consumers.

Government has also announced the procurement of