Only a month or two ago, prices of Onion were so dear that the restaurants were at losses and households decided to cut down the intake of the most essential ingredients of their food. The prices were soaring high at Rs 30 per kilo. However, as an interesting development, the prices have now come down and by down I mean extremely low to as much as Rs 5 or 6 a kilo for the cheap variety.
The good varieties are available at Rs 10 or 12, Grade A Onions, in the retail markets after the supply from Maharashtra and Karnataka shot up greatly. The relief in the prices has been felt all over the state despite no respite from the high prices in other essential commodities.
Top grade onions are around Rs 10 or 12 per kilo and for the same quantity of Grade B onions expect to shell 8-10 bucks. The cheapest grade C onions will cost you Rs 5 or 6 per kg. Not just wholesale but even retail market is enjoying a dramatic fall in the onion prices.
Traders said that markets are now receiving twice as many as onins per day on an average boosting the sales greatly. At this rate, since a few days, the supply has exceeded the demand of goods and basics of economics teach us that this is the fundamental cause for a fall in prices.
(AW- Anil)
