The central government, through the National Agricultural Cooperative Marketing Federation of India (Nafed), has started procuring onions at Rs 12.35 per kilogram in Maharashtra, Union Agriculture Minister Shivraj Singh Chouhan announced in Satara on Friday. He emphasized that the procurement process must be closely monitored to prevent any irregularities.
Government Response to Farmer Distress
Speaking at the same event, Chief Minister Devendra Fadnavis noted that the move would significantly ease the distress of onion farmers. Many farmers have been forced to sell their produce at extremely low prices, sometimes as little as Rs 1 per kg, or even 50 paise after transport to Agricultural Produce Market Committees (APMCs). In some cases, farmers have reportedly dumped their produce due to unviable returns.
Chouhan and Fadnavis chaired an event for beneficiaries of the Pradhan Mantri Awas Yojana (Rural) in Satara on Friday. The Union minister revealed that he had received a call from Fadnavis regarding the sharp fall in onion prices, attributed to bumper production and disruptions in exports to Bangladesh and some Middle Eastern countries amid ongoing geopolitical issues.
Procurement and Transparency Measures
“From today, Nafed has started procuring onions at Rs 12.35 per kg. We will support farmers in every possible way. I have also directed authorities to ensure transparency in procurement,” Chouhan stated. The state government had constituted a panel of senior officials last month to suggest measures to stabilize onion prices, which began falling sharply in mid-March.
The opposition has announced protests, demanding a procurement price of Rs 15 per kg and a guaranteed price of Rs 20 per kg. However, Fadnavis said the Centre acted promptly after the state flagged the issue. “Farmers are in severe distress. Onion is a perishable commodity with limited shelf life, making procurement and storage challenging. Despite this, the Union government, under Prime Minister Narendra Modi, has stepped in. This will bring major relief to the farmers,” the Chief Minister said.
Fertilizer Usage and Loan Waiver
Chouhan also appealed to farmers to use fertilizers judiciously, in line with the PM's appeal. “I am not asking farmers to stop using fertilizers, but to avoid excessive usage. Soil testing should be done and fertilizers applied accordingly. This will also help save foreign exchange,” he said, adding that efforts were under way to ensure adequate fertilizer availability.
Fadnavis announced that the state government was likely to declare a farm loan waiver before June 30. Farmers who have repaid loans regularly would also be given incentives, he said.
Sugar Industry Concerns and Simultaneous Elections
Addressing concerns over the struggling sugar industry, Chouhan invited Fadnavis to New Delhi for a joint meeting with Union ministers to explore solutions. The sugar sector is facing financial stress due to low sugar prices and high procurement costs for sugarcane. Fadnavis said a meeting with Union Home Minister Amit Shah was scheduled in the coming week to address the issue.
Chouhan also reiterated support for conducting Lok Sabha and state assembly elections simultaneously. “Frequent elections disrupt development work and incur huge costs. If elections are held together, governments can function smoothly for five years and save significant public funds. We, therefore, need to support the determination of PM Modi to hold elections for Lok Sabha and Vidhan Sabha simultaneously,” Chouhan said.
Housing Progress Under PM Awas Yojana
The Chief Minister said the Centre had approved nearly 13 lakh housing units for Maharashtra, of which 12.9 lakh have already been built. Additionally, approval has been received for 30 lakh more houses, which are expected to benefit around 1.25 crore people. He added that 15 lakh new housing units would be constructed next year.
