Onion Price – Big relief for common people. The central government has started selling onions at a subsidised rate of Rs 24 per kg in Delhi, Mumbai and Ahmedabad to make onions available to consumers at affordable rates.
After flagging off the mobile vans , Union Food Minister Prahlad Joshi on Thursday (September 4) said that about 25 tonnes of onions will be sold in these cities from the buffer stock through cooperative bodies Nafed (National Agricultural Cooperative Marketing Federation of India), NCCF (National Cooperative Consumers Federation of India) and central reserves.
Joshi told reporters that in places where the retail price of onion is more than Rs 30 per kg, onions will be sold at the rate of Rs 24 per kg. The sale of subsidized onions will be extended to Chennai, Guwahati and Kolkata from Friday and will continue till December.
According to official data, the average retail price of onion on Thursday was Rs 28 per kg. While in some cities it was above Rs 30 per kg. At present, the government has a buffer stock of three lakh tonnes of onion. This onion was purchased under the PSF ( Price Stabilization Fund ) scheme at an average price of Rs 15 per kg during the financial year 2024-25.
Joshi said that measured and targeted disposal of onions from buffer stock is an integral part of the government’s efforts to control food inflation and maintain a stable price regime. ” The priority of the government is to keep food inflation under control. Various direct interventions through price suppression measures have played an important role in bringing down inflation in recent months, ” he said.
The government is monitoring daily prices of 38 commodities, including onion, from 574 centres across the country. The Union minister said general retail inflation for July 2025 was 1.55 per cent , the lowest in nearly eight years. He said the reason for the significant decline in food inflation is the price rise.
Onion production this year is estimated at 307.71 lakh tonnes, which is about 27 per cent higher than last year. No tariff or ban has been imposed on onion exports. The pace of exports is stable. 1.06 lakh tonnes of onion was exported in July and 1.09 lakh tonnes in August, 2025.