Delhi govt to step in if onion prices rise further: Rekha Gupta

Gupta said there was currently no shortage of onions or sugar, but directed the Food and Supplies Department to prepare for onion procurement if needed.

The Delhi government will procure onions from the National Agricultural Cooperative Marketing Federation of India Ltd (NAFED) and make them available to consumers at affordable rates if prices rise further, chief minister Rekha Gupta said on Tuesday in a statement.

Procured onions will be sold at the NAFED supply rate, with the Delhi government bearing transportation and other related costs for distribution. (Sanjeev Verma/HT)

A review meeting chaired by Gupta on the availability and prices of onions and sugar found that there is currently no shortage of either commodity in the Capital. However, Gupta directed the Food and Supplies Department to initiate the process of procuring onions from NAFED if prices increase further. The all-India average retail price of onion rose more than 28% in a month to ₹44.72 per kg on August 25, from ₹34.80 per kg on July 25. In Delhi, onion was retailing at ₹55 per kg on Tuesday. Sugar prices also continued to rise, increasing by nearly ₹1 per kg to around ₹64 per kg in the retail market on Tuesday.

The government plans to make the procured onions available at various locations, including through camps. Consumers will pay the rate at which NAFED supplies the onions, while the Delhi government will bear transportation and other related costs.

The government has also stepped up measures to check sugar hoarding. Sirsa said the Centre has prescribed limits on the quantity of sugar that can be stored to prevent stockpiling. The Delhi government will take action against traders or establishments found storing sugar beyond the prescribed limit.

The Food and Supplies Department has also been asked to prepare a detailed plan to ensure sugar is available to consumers at affordable rates.