Onion prices rose significantly in June, driving up overall inflation. Inflation for onions was 114% in June compared to 97.4% the previous month. While farmers typically sell onions to traders for around Rs. 20/kg, traders then sell to wholesalers for Rs. 30-80/kg, contributing to increased prices for consumers. The Agriculture Minister attributed the higher prices to damage from heavy rains hurting some crops, though a representative from NAFED said arrivals were still good with no major reported damage, so the price rise was not fully understood.

1. KNOW YOUR ONIONS:WHO
LET THE PRICE RISE
BY:
VARUN KUMAR
VIKRANT BHONGLE
VINAYAK TAYSHETYE
ADITYA KAPOOR

2.  A Twitter user tweeted, “Forget the Nike,
Zara and Lacoste sales. I’m waiting for my
localsabsiwalla’s (vegetable seller’s) onion
sale.”

5.  Inflation rose to 4.86 per cent in June,
driven mainly by rising prices of food
articles, especially vegetables
including onion. Inflation based on the
Wholesale Price Index (WPI) had stood
at 4.70 per cent in May.
 Inflation in onion shot up by 114 per
cent in June, from 97.40 per cent in
the previous month.

6. Why onion prices are so high
 Farmer sells to trader for Rs. 20 per kg.
 Trader sells to wholesaler for Rs. 30-80 per
kg.

7.  "It's a straight fact. Onion prices have gone
up. Due to heavy rains, a lot of the crop is
damaged," said Sharad Pawar, Union
Agriculture Minister.
"We cannot understand this price rise,
because the arrivals are still alright. There
are no reports of any major damage to the
crops," said Sanjeev Chopra, MD, NAFED.

8. Thank you