Amid rising onion prices, MP has lost onions worth Rs.20cr
What's the story
Amid a rise in onion prices across India, the Madhya Pradesh government seems to have lost about 25,000 metric tonnes of onions worth Rs. 20cr.
According to official figures, procuring agency MARKFED obtained 8.76L metric tonnes from farmers at Rs. 8/kg.
However, only 8.51L metric tonnes made it to the Civil Supplies Corporation, the selling agency.
Where did the remaining onions go?
Possibilities
What could have happened?
There are several possibilities. Maybe the figure simply wasn't recorded correctly. In this case, a re-counting will solve the mystery.
Or maybe the stock was rotten, in which case they could have been dumped.
Worst scenario, some corrupt agency intervened and removed the stock for personal gains.
No one knows yet. Bhopal Collector Sudam Khade says an inquiry has been ordered.
Information
The state still taking its time?
Surprisingly, no action has been initiated yet at the state level. "The figures are still be being collected," said Dr Hitesh Vajpayee, Civil supplies Corporation Chairman.
Farmers
A bumper crop has made things harder for farmers
After six farmers were killed in police firing in MP, the government increased procurement prices of onions from Re. 1/kg to Rs. 8.
But this year's bumper crop has hit farmers negatively. They had to wait in line at procurement centres for days, keeping aside their sowing, as more growers arrive daily.
"Prices will crash the moment the government stops," a trader worries.
Prices
Despite the bumper crop, onion prices are soaring
Meanwhile, despite a steady supply of onions, prices have been skyrocketing. In Mumbai, prices have reportedly increased from Rs. 14/kg to Rs. 34 in 10 days. They are expected to touch Rs. 80-100.
The situation is similar in the northeast.
In Nashik's Lasalgaon, Asia's largest onion market, wholesale rates touched a two-year high, from Rs. 1,270/quintal to Rs. 2,500 - an 83% jump.