Onion hits 8-month high on supply disruptions, low arrivals

Traders say prices will remain elevated due to increased demand, lower availability

Onion prices saw a remarkable jump, hitting an eight-month high on account of a sharp increase in demand by stockists in both, domestic and overseas markets amid reports of low arrivals in the country’s major mandis.

Data compiled by the National Horticultural Research & Development Foundation (NHRDF) showed that the model price of onion in Maharashtra’s Lasalgaon mandi almost doubled to Rs 8.70 per kg, from its earlier low of Rs 4.50 per kg.

Prices of agricultural commodities usually increase around this time on account of supply disruptions due to rain and a sudden spurt in demand from stockists, ahead