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Govt extends stock holding limit on onion traders for indefinite period

28 Nov 2019 Evaluate

Amid high onion prices, which are ruling at Rs 80-90 per kg, the government has extended prohibitions on traders from the stocking of edible bulb across the country for an indefinite period. Separately, Food and Consumer Affairs Minister Ram Vilas Paswan did not say by when prices of onion will normalise.

Besides, the Centre has banned exports of onion and importing 1.2 lakh tonnes to control prices. Onion prices are ruling at Rs 70-80 per kg in retail markets across major cities. The stock holding limit was imposed in September. At present, retailers can stock onion only up to 100 quintals and wholesale traders are allowed to keep up to 500 quintals.

The consumer affairs secretary has written to chief secretaries of all states asking them to suitably reduce the stock limits further in their states as per the availability and prices. They have been asked to strictly enforce these stock limits and send an action taken report on a weekly basis.

Expressing concern over the price rise, Paswan said the situation is being closely monitored by a team of five Union ministers chaired by Home Minister Amit Shah. Finance minister, agriculture minister and road transport minister are also members of the group of ministers. The group of ministers has already held one meeting and another one will be held soon.

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