Govt’s `1,235 onion rate sparks massive farmer backlash

Growers warn procurement pricing below cultivation costs could trigger protests, financial distress and mounting agricultural losses statewide

Commodity Desk MUMBAI

The Centre’s decision to procure onions at ₹1,235 per quintal from farmers has triggered strong opposition from growers’ associations in Maharashtra, which termed the announced support price inadequate and warned of statewide protests if the rate is not revised.

  Union Agriculture Minister Shivraj Singh Chouhan announced the procurement rate of ₹12.35 per kg on Friday during an event in Satara in the presence of Maharashtra Chief Minister Devendra Fadnavis. Chouhan said onion exports have been impacted due to the ongoing West Asia crisis following the US-Israeli airstrikes on Iran earlier this year, resulting in weaker overseas demand and falling domestic onion prices.

  “As onion exports have been affected due to the West Asian crisis, onion prices have fallen. We will procure the entire stock and support onion growers,” the minister said, adding that directions have been issued to National Agricultural Cooperative Marketing Federation of India (NAFED) to begin procurement immediately. However, the announcement failed to satisfy onion growers in Maharashtra, home to Lasalgaon, Asia’s largest wholesale onion market.

  The Maharashtra State Onion Growers Association said the procurement rate does not even cover production costs and demanded a minimum support price of ₹3,000 per quintal.

  Founder-president Bharat Dighole described the procurement decision as “an act of rubbing salt into farmers’ wounds” amid rising cultivation costs. He pointed out that in 2023, when onion prices had crashed, the government had announced procurement at ₹2,410 per quintal. Dighole questioned why farmers are now being offered nearly half that rate despite rising costs of fertilisers, labour, transport, pesticides, electricity and storage. 

The association also demanded compensation for farmers who sold onions at sharply lower prices in recent months and sought immediate operationalisation of NAFED and NCCF procurement centres. Growers warned that if the procurement rate is not revised upward quickly, onion farmers across Maharashtra could launch protests against the government’s decision.