NEW DELHI (Commodity Online): With the pressure to rein in inflation mounting, Prof. K.V. Thomas, India’s Minister of State for Consumer Affairs, Food and Public Distribution has directed relevant government organizations to intervene in the market immediately to keep the onion prices under check.
Accordingly, NAFED and NCCF outlets in Delhi will sell onions at the rate of Rs. 20 per kg. The State Governments are also being requested to take similar steps for market intervention through their agencies.
“The Minister directed the officials to keep a close watch on the price situation and take other appropriate measures like discouraging the export of the commodity, if required.” said a press release from the ministry.
The Ministry also had discussion about the issue in the recently held meeting of Committee of Secretaries. It was decided to have fortnightly review to keep a close watch on the price situation.
Estimated total onion production in India for 2011-12 will be 151.36 lakh tonnes which will be higher than the last year’s production of 145.62 lakh tonnes.
Food inflation in India climbed past the ten percent mark for the week ended August 20.
According to official sources, country’s food price index rose 10.05%, its highest in nearly six months, and the fuel price index climbed 12.55% in the year to Aug. 20.
