"We may open stalls, like we did before, to make available onions at reasonable rates in case prices continue to soar," Development Minister Raj Kumar Chauhan, who looks after functioning of wholesale vegetable and fruit markets in the city, said.
He said government will come down hard on hoarders and black-marketers of onion as Chief Minister Sheila Dikshit has issued direction to take action against such traders.
Prices of onion have increased to Rs 45 to Rs 50 per kg in the retail market against Rs 20 per kg couple of weeks back. The price of onion had touched Rs 40 in retail markets in mid-July also but it had come down after supply was normalised.
Wholesale onion prices at Azadpur vegetable and fruits market have gone upto Rs 32.50 per KG
Chauhan admitted that there has been decline in supply of onion in the wholesale markets which resulted escalation of price. The daily demand of onion in Delhi ranges between 400 to 600 tones.
"The city had received 3,884 tonnes of onion in the first six days of August against 4513.5 in the same period last year," he said.
"The drastic shortage in arrival of onion from onion producing states during these two days has directly or indirectly affected the onion prices," he said.
Chouhan said heavy rains in onion producing states like Maharastra have affected supply.
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