Onion traders in Nashik district of Maharashtra started an indefinite strike, suspending auctions across all agriculture produce market committees (APMCs). This move has raised concerns of a potential shortage of this kitchen staple in retail markets and an accompanying increase in prices.
The Nashik District Onion Traders Association (NDOTA) has called for this strike in response to the recent decision by the Union government to increase export duties on onions by up to 40 percent, a measure that will be in effect until December 31. According to an office-bearer from NDOTA, this decision is not only expected to hinder onion exports but also affect onions in transit, resulting in significant losses for farmers.
The office-bearer said they are also protesting against the government’s failure to keep its promise to purchase onions from farmers through NAFED. “We had given time till September 19 to the government to find a solution to our demands. But as our demands are not agreed to yet, we have decided to shut the auction of onions in all APMCs in the district,” the office-bearer said.
Main concern of onion traders is that the Centre, through its agencies such as the NAFED and the NCCF, procure onion from traders but offload the same in wholesale markets in retail centres. Traders want the government to sell the onion procured through a separate retail chain as they can not compete with the prices at which the government sells.
Maharashtra’s marketing minister, Abdul Sattar, weighed in on the issue, stating that observing a bandh (shutting down auctions of onions) is not the right approach. He mentioned that secretaries in the departments of cooperation and marketing would discuss the necessary actions in accordance with established rules, and the Nashik district collector would take appropriate steps.
IEarlier in August, auctions of onions were also suspended at most APMCs in Nashik district, including the largest wholesale onion market in India, Lasalgaon. This protest ended following the intervention of Union Minister Bharti Pawar, who represents Nashik district.
The protesting traders have put forward several demands, including the cancellation of export duty on onions, a 50 percent reduction in market fees, and the involvement of NAFED and NCCF in auctions. They are also seeking a 50 percent subsidy in the transport of onions.
As a result of this strike, onion auctions did not take place in any of the APMCs in Nashik district on Wednesday, including the Lasalgaon APMC, Asia’s largest wholesale onion market. The strike is likely to affect onion supplies in other States too.
