Onion Auction to Remain Closed Indefinitely in Nashik Wholesale Markets to Protest 40% Duty on Export: Traders

Onion Auction to Remain Closed Indefinitely in Nashik Wholesale Markets to Protest 40% Duty on Export: Traders

Traders in Nashik, Maharashtra, have taken the decision to close onion auctions indefinitely at all Agriculture Produce Market Committees (APMCs). This move comes as a protest against the 40 per cent duty imposed by the Centre on the export of onions. The closure affected most of the APMCs in Nashik district, including Lasalgaon, which is the largest wholesale onion market in India. According to traders, the government’s decision will have adverse effects on onion growers and its export. The Nashik District Onion Traders Association held a meeting on Sunday and decided to indefinitely close the auctions. The decision was made to support the onion farmers in the region. In case onions are brought to an APMC, the auction of those onions will be conducted. However, the process will thereafter remain closed indefinitely. Traders are urging the government to reconsider the duty, as they believe it does not consider the rise in expenditure on fertilisers and labor costs involved in onion production. They claim that a wrong report has been submitted to the central government, not taking into consideration these factors. Traders also highlighted the surplus onion stocks in Maharashtra and Madhya Pradesh, with 80 per cent and 70 per cent respectively. Despite the increase in production cost, traders argue that the price of onions has not increased significantly. It is about Rs 25-30 in the wholesale market and Rs 35-40 in retail. They also suggested the government provide onions through the public distribution system at cheaper rates, similar to rice and wheat. Traders warn that the export of onions will drop drastically due to the Centre’s decision, which will benefit farmers in Pakistan, Iran, and Egypt. They are calling on Union minister Nitin Gadkari to take up the issue with the Centre. Traders plan to further address this issue as they stand in solidarity with the farmers. They stress the need for the Centre to hold a meeting with stakeholders before implementing this decision.

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TIS Staff

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