Masala less tangy with onion priced at Rs 100/kg in Chennai

CHENNAI: Though onions are sold at Rs 80/kg at the Koyambedu wholesale market, they cost Rs 100/kg in retail on Friday.

A sudden spike in prices is due to shortage of supply from Nasik, Bellary and Telangana. Traders anticipated that the supply might slightly increase from next week lowering prices.

Normally, the Koyambedu wholesale market receives 70-80 trucks of onions every day from Nasik, Bellary and Telangana. Due to the Maharashtra election, transportation has impacted the city, with the recent rainfall interrupting supply. At present, the market receives only 40-45 vehicles, which led to a hike in the prices in the last two days.

“Most of the onion supply is from Nasik; we’re expecting the transportation to normalise after the election. Also, there might be a steady flow of onions from Bellary and Telangana. So, prices will reduce marginally. However, if there is intense rainfall, supply will be further impacted and the rates will surge abnormally,” P Sukumaran, treasurer, Koyambedu Wholesale Merchants’ Association.

Onions were sold for Rs 40-50/kg last week, which gradually increased to Rs 60-70/kg. On Friday, a kilogram costs Rs 80 in wholesale. Semi-wholesale traders sold onions at Rs 90/kg whereas in retail, it was Rs 100/kg.

Sukumaran pointed out that they have been requesting the State government to provide open ventilator warehousing, which keeps onions fresh for six months. “If such facilities are introduced in the State, it would keep supply steady, and prices would remain stable,” he opined. “This surge in price has impacted sales, which have reduced by 20% in recent days. When onions were sold for Rs 40/kg, consumers bought at least 1-2 kg, but now, they buy only half-a-kilo,” rued R John, a retail trader at Saidapet.