2500 crore loss in onion price in Gujarat, government not helping

2500 crore loss in onion price in Gujarat, government not helping

Onion made farmers cry even before monsoon, loss of Rs 2,500 crore

Dilip Patel, 19 May 2022
The Meteorological Department has estimated the onset of monsoon a week in advance. So the onion growers have again suffered a setback amid low prices for the farmers. Farmers who do not have fairs or godowns have sent tractors to the market to sell onions before monsoon. If not sold, we will soak the onion in the field. It is estimated that 40 to 50 thousand farmers have planted saplings.

Farmers in Maharashtra are giving onions for free. Now such a situation can happen in Gujarat. Hence the farmers believe that the government needs to intervene in the market.

farming loss business

The cost of production on a farmer’s field is 10 to 11 per kg. In which labor can be sold to the farmer only if the labor, profit, rent is more than Rs 20 per kg. In return, farmers have to pay Rs 1 to Rs 20 per kg. Most 20 kg onions are sold for an average of Rs 100. It has to be sold at Rs 5 per kg. The farmers have suffered a loss of Rs 10 to 15 per kg in the changed onion price.

Gujarat’s loss
Thus the loss per farmer is Rs 10000 to 15000 per ton. It is estimated that a total of 24 lakh tonnes of onion is cultivated in Gujarat. According to him, the farmers have suffered a loss of about one lakh rupees. In which Bhavnagar alone may suffer a loss of 1500 crores.

Had onions been sold at Rs 600 per 20 kg, goods worth Rs 7,000 crore to Rs 9,000 crore would have been sold to farmers. Thus, if profit and loss are multiplied, the actual loss can be calculated as Rs 5,500 crore.

The government has announced a subsidy of Rs 2 per kg on the goods sold in April. The government has announced an assistance of Rs 2,000 per tonne. Even if it helps 50 percent of the farmers, they can get Rs 240 crore. The loss against this is Rs 3600 crore.

merchant robbery
The price of the new farmers before their arrival in the market was Rs 30 per kg. As the goods started coming out of the fields, the prices went down and the farmers’ money was lost. The recession is over, but the market is not improving. From January 1, 2022, new goods started arriving in Mahuva, Bhavnagar. Earlier, the market price of 20 kg had gone up to Rs 700. But as soon as the goods arrived, 60 to 150 were sold out of 20 kg. Then it was reduced to Rs 20 per 20 kg. In such a situation, traders have looted heavily.

Agriculture department mistake

According to the Agriculture Department, there has been an increase of 200 percent in the cultivation of onions and the prices have come down due to the increase in production. The Agriculture Department actually works for the Industries Department. Not for farmers. The Agriculture Department did not tell that farmers should not cultivate onions more.

monday sale

Mahuva, Rajkot and Gondal are the major agricultural markets for selling onions. Here the work of 4 to 10 thousand bags is done. On Monday, 1.10 lakh bags of white and red onions were sold in Gujarat. According to the APMC, 80,000 white onions and 19,900 tonnes of red onions were sold to farmers.

There is a lot of income from white onions. The current price is between 50 to 200 per 20 kg. 20 kg is 40 to 41 rupees in Gondal. Gondal has 20 to 126 rupees. In Mahuva, 85,000 bags are being sold by the farmers at the rate of 40 to 250 per 20 kg.

The price of red onion ranges from Rs 20 to Rs 200 per 20 kg. A big difference can be seen in the quality of red onions in each region.
The government has no policy to provide good prices to the farmers.

The Agriculture Department does not have the tools to determine how much crop farmers should sow. Due to which farmers are being looted.

In Gujarat, onion is cultivated in an average of 44 thousand hectares in winter. An official of the Agriculture Department has informed about the last planting in which 88361 hectares were planted till 31 January 2022. It is planted 200 percent as compared to normal planting.

In 2020-21, 60547 hectares were sown in winter. With the summer was 67 thousand hectares.

Of the total 88 thousand hectares of Gujarat, 84 thousand hectares were planted in Saurashtra. The Agriculture Department estimates that the total production will be 2391740 tonnes with planting in 88360 hectares in the winter of 2021-22. Thus, the production was expected to be 2.4 million tonnes. The productivity will be 27 thousand kg per hectare.

Amreli has 3.78 lakh tonnes of paddy in 14 thousand hectares.

In Rajkot, cultivation was being done in 12 thousand hectares. 3.24 lakh tonnes of onion has been sown.

In Bhavnagar alone, 38 thousand hectares of onion is cultivated. 50% of Gujarat’s onion is grown in Bhavnagar district alone. 8 lakh tonnes of onion has been sown. It is also highest in Mahuva. Mahuva Taluka is the largest onion producer in the whole of Gujarat.