As onion touches ₹62 per kilogram, government blames middlemen for price rise
The Indian government is blaming middlemen for the recent surge in onion prices, which have reached ₹62 per kilogram. To combat this, authorities are initiating retail sales of onions at a subsidized rate of ₹35 per kilogram through mobile vans and cooperative stores.
Why it matters
Onion price volatility is a significant political and economic issue in India, directly impacting household inflation and farmer livelihoods.
The Union government on Thursday (August 27, 2026) blamed “black marketing, hoarding and profiteering” for the increasing price of onions across the country and said the essential vegetable will be made available for retail sale at a discounted price of ₹35 per kilogram through designated mobile vans in cities such as Delhi. On Thursday (August 27), the price for a kilogram of onion in the Delhi market was ₹62.
The Consumer Affairs Ministry said the National Agricultural Cooperative Marketing Federation of India Limited (Nafed), and the National Cooperative Consumers’ Federation of India Limited (NCCF) will sell the onions through its retail stores and the Kendriya Bhandars under the price stabilisation measures.
Union Agriculture Minister Shivraj Singh Chouhan said middlemen are the reason for the increase in onion prices and the farmers should get a reasonable income while the consumers should get the product at a reasonable rate.
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