In order to keep prices in check, NCCF begins selling onions from vans in Mumbai

Mumbai, Sep 4 (PTI) As part of an initiative of the Union government, the National Cooperative Consumers' Federation of India (NCCF) started selling onions through mobile vans in Mumbai on Thursday at subsidised rates in an effort to keep retail inflation under control.

These vans will move across wards in Mumbai to sell onions at rates lower than prevailing market prices, an NCCF official said.

"We expect daily sales of about 10 tonnes. The intervention is linked to the government's effort to keep retail inflation in check. The scheme was introduced last year when onion prices had surged to Rs 100 per kg, prompting the government to sell them at Rs 35 per kg," the official said.

The vans will cover all of Mumbai from next week and sell onions on working days, the official said, adding the areas the vehicles cover will be updated on NCCF's website routinely.

The Centre on Thursday kick-started subsidised sale of onions at Rs 24 per kg in Delhi, Mumbai and Ahmedabad to make the key kitchen staple available to consumers at affordable rates.

After flagging off mobile vans for the sale in the national capital, Union Food Minister Pralhad Joshi said about 25 tonnes of onions from the buffer stock will be sold in these cities through cooperative agencies — National Agricultural Cooperative Marketing Federation of India (Nafed), National Cooperative Consumers' Federation of India (NCCF) and Kendriya Bhandar.

Joshi said the subsidised sales would take place in areas where retail prices are ruling above Rs 30 per kg.

The all-India average retail price of onions was Rs 28 per kg on Thursday, while in some cities the rates were above Rs 30 per kg, according to official data.

Currently, the government has a buffer stock of 3 lakh tonnes of onions, procured at an average price of Rs 15 per kg during 2024-25 under the Price Stabilisation Fund scheme.

The general retail inflation for July stood at 1.55 per cent, the lowest in nearly eight years.

Consumer Affairs Secretary Nidhi Khare said domestic onion production in 2024-25 is estimated at 30.77 million tonnes, about 27 per cent higher than the previous year, which has kept prices from rising sharply.

She said selling onions at this stage before the festival season would help recover procurement costs and ensure availability at affordable rates for consumers.

Onions grown during the rabi season in Maharashtra, Gujarat and Madhya Pradesh form the bulk of the buffer stock. PTI ND BNM