The Department of Consumer Affairs, announced that 1,600 MT of onions, procured by the National Cooperative Consumers Federation of India Ltd. (NCCF) under the Price Stabilisation Fund, are being transported by rail through the Kanda fast train from Nashik to Delhi NCR.
This marks a significant milestone, as it is the first time that bulk transportation of onions by rail rake has been utilized under a price stabilization intervention. The shipment is expected to arrive by 20th October 2024, and its release in Delhi-NCR is anticipated to substantially boost onion availability during the festive season.
Smt. Nidhi Khare, Secretary of the Department of Consumer Affairs, emphasized during a press briefing the critical role of NCCF in spearheading this initiative. She noted that rail transport for onions is gaining momentum, with plans to extend shipments to other major destinations like Lucknow and Varanasi in the coming days.
Additionally, the Department has requested Indian Railways to facilitate the transportation of onion rakes from Nashik to several key locations in the North-Eastern region, including New Jalpaiguri (Siliguri), Dibrugarh, New Tinsukia, and Changsari. This strategic move by NCCF will ensure wider and more affordable access to onions across various parts of India.
This year, the government procured 4.7 lakh tons of rabi onions for the Price Stabilisation Buffer and began releasing stocks from 5th September 2024, through retail sales at Rs. 35 per kg and bulk sales in major mandis nationwide. To date, approximately 92,000 MT of buffer onions have been dispatched from Nashik and other centers, primarily by road. NCCF has played a pivotal role in this distribution, covering 77 destinations across 21 states, while NAFED has covered 43 destinations in 16 states.
Moreover, NCCF has partnered with retail chains like SAFAL, Kendriya Bhandar, and Reliance Retail to make onions available to consumers at Rs. 35 per kg. In addition, 86,500 MT has been allocated to nine State Governments and Cooperative Societies for retail distribution.
The NCCF’s intervention has had a noticeable impact, significantly curbing the rising trend in onion prices. Average retail prices in major states like Uttar Pradesh, Haryana, Maharashtra, Odisha, Punjab, Jharkhand, and Telangana have declined, with mandi prices in Lasalgaon dropping from Rs. 47 per kg on 24th September to Rs. 40 per kg on 15th October 2024.
NCCF’s strategy of bulk transportation via rail rake has proven to be both cost-effective and efficient, ensuring timely deliveries and stabilizing the market supply.
In relation to tomato prices, Secretary Khare explained that the recent surge was caused by excessive rainfall and high moisture levels in key tomato-growing regions like Andhra Pradesh, Karnataka, and Maharashtra.
Adverse weather and disease outbreaks have impacted harvests and shelf life. However, the situation is expected to improve with increased arrivals from Maharashtra and Madhya Pradesh, which should help bring tomato prices down in the near future.