Karnataka drought cuts onion plantings and lifts retail prices nationwide
Onion prices are climbing and aren't likely to drop soon, thanks to a tough drought in Karnataka.
Farmers there have planted way fewer onions this season, just 68,000 hectares compared to last year's 90,000.
Even though the government sold buffer stocks at ₹35 per kilogram for relief, wholesale prices have jumped to ₹40 per kilogram and the all-India retail price average is ₹50 per kilogram, with retail prices ranging from ₹23 per kilogram to ₹87 per kilogram.
Officials: exports not worsening onion supply
Karnataka's drought has hit hard, with more than 100 areas officially affected.
While other states like Maharashtra and Madhya Pradesh have maintained the acreage at par with year-ago levels, the shortage from Karnataka is pushing prices up everywhere.
Officials say exports haven't made things worse and there's still enough onions in India, but they expect prices to stay high for a while longer.