Onion Price: Government increased onion purchase prices by 13%, know what will be the impact on your kitchen budget

Onion Buffer Stock: If your kitchen budget depends on onion prices, then this information is very important for you. In order to provide better price to the farmers for onion and maintain its presence in the market at the time of need, the Central Government has decided to increase the purchase price of onion purchased for buffer stock.

In such a situation, now onion will be purchased from farmers for buffer stock at Rs 21.25 per quintal, which was earlier Rs 1,875 per quintal. However, this new price has started from today. Till now, government agencies have been able to purchase only about 2,000 tonnes of onion. The government is increasing the purchase price of onion for the buffer stock for the fifth time this season. But the main objective of this decision of the government is to give better prices to the farmers and maintain the presence of onion in the market when needed.

How is the condition of onion in the market?

According to government estimates, about 307.37 lakh tonnes of onion is expected to be produced in the country in the year 2025-26, which is equal to last year. The government says that at present there is no shortage of onion in the country.

However, sufficient stock is available in many states of the country. Especially, more than 50 thousand tonnes of onion is arriving in the mandis every day, in such a situation more than 30 thousand tonnes of onion is arriving from Maharashtra. The average price of onion in the mandis is around Rs 18 per kg, while its price in retail markets is around Rs 31 per kg.

Real Estate News: Stop before buying a flat-plot in Noida, the authority told where to make a deal is illegal

To strengthen farmer welfare, the Government has increased the onion procurement rate in Maharashtra from ₹1875 per quintal to ₹2125 per quintal under PSF for creating the National onion buffer stock. The new rate, which is around 13% higher than the previous rate, is effective… pic.twitter.com/o2kWKxotkt

— Consumer Affairs (@jagograhakjago) July 4, 2026

When did the purchase prices increase in this season?

• beginning: Rs 12.70 per kg
• 22 May: Rs 15.80 per kg
• 13 June: Rs 16.50 per kg
• June 20: Rs 17.30 per kg
• after this: Rs 18.75 per kg
• From 4th July: Rs 21.25 per kg

Impact of monsoon and foreign markets

Due to delay in monsoon and withholding of good quality onion by some traders, there is a lot of turmoil in the market prices. In such a situation, the same stock is expected to be launched in the markets during festivals or when the supply is less.

At the same time, about 1.50 lakh tonnes of onion was exported from India in June, but its pace may slow down. The biggest reason for this is that in markets like Gulf countries and Sri Lanka, cheap onions of Pakistan and China are competing with Indian onions. In such a situation, the increased procurement by the government can act as a relief for the farmers, while for the common people, there is little hope of change in prices at present.

Adani News: ‘This is not America’s business’, US Justice Department justified the decision to close the case against Adani