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Tuesday, December 29, 1998

Onion prices crash; ryots plan stir

EXPRESS NEWS SERVICE  
NASHIK, DEC 28: Alarmed by the plummeting of onion prices that threatens to breach the break-even production level for farmers, the Shetkari Mazoor Sanghatna of Lasalgaon has decided to hold an agitation on January 5.

The general secretary of the Sanghatna, Laxmanrao Pawar, told media persons, the cost of production of onions had almost tripled for the farmer as seeds and fertilizers had become dearer. He claimed that the production cost for the farmer was in the range of Rs 10 to Rs 11 per kilo, which was almost triple the normal cost.

Hence, he said that if prices continued to fall, farmers, including those who have taken loans, would suffer heavy losses as the next crop is due for harvesting within a month.

He said that the Sanghatna would organise demonstrations and a dharna in front of the Lasalgaon Agriculture Produce Marketing Committee to exhort immediate steps to save the farmers from bankruptcy.

Among the Sanghatna demands would be the lifting of the ban on onion export that came to force inthe peak of the onion crisis. Pawar explained that while arrivals had increased and the prices were declining, the ban on the export of onions continued. He demanded that the ban be lifted immediately so farmers could sell their crop to exporters at a better price.

Over the past two months the prices of onions have been on the decline. Onions, according to Pawar, which were being sold at wholesale price of up to Rs 4,000 per quintal (Rs 40 per kilo) two months ago were now fetching only Rs 1,000 per quintal (Rs 10 per kilo) at the Lasalgaon marketyard.

The prices started falling below the four-digit figure in the past fortnight.

Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.


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