The Maharashtra government will soon write to the Centre to lower the minimum export price of onion, which will help stabilise prices, said the Chief Minister, Mr Prithviraj Chavan, on Tuesday in the Legislative Assembly.
Replying to an adjournment notice , Mr Chavan said that at present the export prices are at $125 a tonne but it should be brought down so that the farmers' interests are protected. The prices have been brought down from $600 to $125 and more price correction is necessary, he said.
This year's onion production is about 24 lakh tonnes while last year it was 9 lakh tonnes.
MLAs from Nashik region, which is the largest producer in the country, have criticised the government's policies for the declining onion prices.
Shiv Sena MLA Mr Dada Bhuse said the farmers get a price of only about Rs 250 per quintal, while the cost of production has climbed to more than Rs 1,000. A minimum support price of Rs 1,500 should be announced by the government. Moreover the government should also consider onion procurement from the farmers, he said.
Maharashtra Navnirman Sena's Mr Uttamrao Dikle said both the Centre and the State government should create a financial package for onion farmers.
Mr Chavan informed the House that the State Agriculture Minister, Mr Radhakrishna Vikhe-Patil, had convened a meeting of all onion producers on Wednesday. Prominent farmers' leader and Member of Parliament Mr Raju Shetti has also been invited to the meeting, he said.