The government has raised the onion procurement price for the ‘Price Stabilization Buffer’ (a stock maintained to stabilize prices) by 13%, increasing it from ₹1,875 per quintal to ₹2,125 per quintal.
Onion procurement for the government’s ‘Price Stabilization Buffer’ is currently underway through NAFED and NCCF. This new procurement price will come into effect on July 4, 2026. This new procurement price will ensure better returns for onion farmers while also supporting efforts to build the buffer stock.
According to the second advance estimates for 2025-26 from the Department of Agriculture and Farmers Welfare, onion production is projected at 307.37 lakh metric tonnes, which is virtually on par with the 307.67 lakh metric tonnes recorded in 2024-25. There are no concerns regarding overall availability, although prices may rise slightly due to normal seasonal trends.
Daily arrivals at wholesale markets across the country exceed 50,000 MT—with Maharashtra contributing over 30,000 MT—and the average price is approximately ₹18/kg. High-quality stock remains in storage and will be released during the lean season. The average retail price across India is ₹31/kg. (PIB)
