Onion prices have touched an all-time high in the city, with one kg of the vegetable being sold for ₹140 at the Koyambedu wholesale market. A further dip in arrivals at the market has led to the sharp jump in prices, say traders.
The Koyambedu wholesale market usually receives nearly 50% of its onions from Nashik and the rest from Telangana and Karnataka. However, now the market receives onions mainly from Telangana and Karnataka. It is getting only 20% of the supplies from Nashik, which has led to shortfalls.
Traders said a 50-kg bag of onions is being sold for ₹6,500 to ₹7,000. The market is receiving only 35 truckloads of onions instead of the usual 80 loads daily. Each truck comes with nearly 20 tonnes of onions.
P.Sukumar, treasurer, Koyambedu Vegetables, Fruits and Flowers Merchants Welfare Association, said the continuous dip in arrivals has led to the hike in prices.
Onions from Egypt have started arriving at the market, but in small numbers. This has not helped in controlling prices. Moreover, the quality is not good. The mismatch between demand and supply has seen costs escalate, traders said.
One kg of small onions is priced up to ₹140. Similarly, the price of a kg of drumsticks has again touched ₹250. It had dipped to ₹150 for a few days. In the retail market, it is sold for up to ₹300 a kg.
A large bunch of coriander leaves is also priced at ₹30- ₹40, stretching household budgets.
Traders expect the price of onions to come down to ₹40-₹50 a kg only around Pongal, when a fresh crop is harvested and arrivals at the market begin to increase.