The government is constantly intervening to provide relief to the common people from inflation. For about a month, tomatoes are being made available to the common people at a cheaper price for this reason. Now the government is also going to provide onions at cheap prices. Under this, people will get onion at the price of Rs 25 per kg.
The sale of onions at a subsidised rate will begin on Monday, August 21, through the cooperative agency National Cooperative Consumer Federation of India Limited (NCCF).
Duty imposed on exports a day ago
The NCCF will sell onions at a subsidised rate of Rs 25 per kg from Monday, an official release said. Earlier on Saturday, the government had informed about the ban on the export of onions. The central government has decided to impose a hefty duty of 40 percent on the export of onions from the country. This ban on exports will remain in force till December 31, 2023.
The step taken for this reason
This move of the central government is being linked to the efforts to overcome the fear of a rise in onion prices, there were fears that after tomatoes, onions could also increase the problems of the common people and from September, its prices could see a huge rise. That is why the government has already stepped up preparations, So that inflation does not bother people much during the festive season in the coming months.
Government increasing buffer stock
As part of efforts to control onion prices, the government has also increased the limit of its buffer stock. Earlier, the buffer limit for onion was fixed at 3 lakh metric tonnes. After the procurement was done according to the fixed target, the government has now increased it to 5 lakh tonnes. The government has asked both cooperative agencies NCCF and NAFED to procure an additional 1 lakh tonnes of onions each.
Supply starts from buffer stock
On the other hand, the government has started sending onions from the buffer stock to the market, so far about 1,400 tonnes of onions have been launched from the safe stock. This is to meet the demand of onions in the domestic market and to ensure adequate availability so that onion prices in the domestic market do not skyrocket like tomatoes.
Tomatoes bothered
Earlier, the prices of tomatoes have troubled people. Tomato prices had once reached Rs 200-250 per kg in different cities of the country. After that, NCCF and NAFED started selling tomatoes at cheap prices. Earlier, tomatoes were being sold at Rs 90 per kg. Now its prices have been reduced to Rs 40 per kg from today. Retail inflation had crossed 7 per cent in July due to rising prices of tomatoes and other vegetables.
