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Removal of onion from ECA; Farmers to benefit most, prices to remain stable

NASHIK :

Following relaxations in agricultural activities ahead of kharif season, the government has given another relief to to farmers including onion growers by removing onion from the Essential Commodities Act. This means that prices won’t be capped by government and one can store as much onion as needed.

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Welcoming the decision in this crisis of Coronavirus lockdown, chairperson of agricultural produce market committee (APMC), Lasalgaon, Suvarna Jagtap on Saturday said that removal of onion from the Essential Commodities Act will immensely benefit onion growers and customers at last.

“The farmer can now store as much onion as needed and can sell it in off-season. Thus it will help stabilize prices of onion and will save the customer from soaring prices.”

The decision will impact prices of onion in future. It will help reduce prices in the benefit of customers. Due to hoarding of this staple food, the farmer can maintain regular supply in markets and can get fair price during the off season too, she said demanding improvement in storage facilities.

This will help enable price realisation for farmers by attracting investments and making agriculture more competitive, Jagtap added.

The chairperson of this Asia’s biggest onion market also hailed the central decision that if any exceptions were to be made, they will only be considered during times of natural calamities or famine.

As per government decision, agricultural items — including cereals, edible oils, oilseeds, pulses, onions and potatoes — will no longer be covered under the Essential Commodities Act and face deregulation. This means the government will no longer be setting the maximum retail price (MRP) during times of excess supply or demand.

Meanwhile, on Friday the Lasalgaon APMC procured around 9000 to 10000 quintals of onion from 576 tractors with an average per quintal price of Rs 800. In the retail market, the onion price is hovering around Rs 15/kg.

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