In response to the increase in onion prices, the government has taken measures to increase supplies and stabilize market prices. The delivery of onions has begun from Nashik to major consumption centers across the country, and controlled releases of onions onto the markets are also being implemented.
The state states that the goal of this initiative is to maintain an adequate supply on the market and prevent a sharp rise in prices. Onion prices have been increasing in August. According to the government, seasonal price increases for onions typically occur in August and September, which can be exacerbated by demand during holidays, as well as issues related to weather and supply chains.
In the initial phase, five major consumption centers were selected to ensure the supply of onions: Chennai, Madurai, Delhi, Kochi, and Guwahati. Onions will be delivered to these cities from Nashik, ensuring their availability in the markets according to demand. The government noted that other cities may be included in this program depending on demand and market needs, where onion supplies will be increased if high pressure on prices or supply is identified.
The government asserts that there is sufficient onion in the country to meet domestic demand in the coming months. It is projected that onion production in 2025-26 will be around 307.37 million metric tons, which is approximately comparable to last year's production of 307.67 million metric tons. Therefore, the government does not view the current situation as a major supply crisis but is focusing on maintaining onion availability in the market and preventing unnecessary price fluctuations.
To maintain market supplies, the government is also releasing onions from buffer stocks in controlled quantities to increase availability at the right time and limit sudden price increases. The 'Kanda Express' train rake plays an important role in transporting onions. According to the government, about 88,000 metric tons of onions were delivered to various parts of the country by this rake in 2025-26.
This utilized 86 railway wagons, and the onions were delivered to 16 major cities. The government stated that the onion release and transportation program will be expanded according to needs. That is, the volume of supplies may be increased in the near future depending on the market situation. The increase in onion supplies from Nashik to major consumption centers and the controlled release from buffer stocks are aimed at improving market availability, although the impact of this on retail prices in different cities will become noticeable in the coming days.