Onion prices in India’s domestic market have dropped below production costs due to disruptions in exports caused by the Iran war. However, a marginal recovery has been observed over the past two weeks, supported by exports to countries such as Malaysia and Sri Lanka, along with government procurement. Exports to Gulf countries, however, continue to face challenges. Farmer leaders have urged the government to intervene immediately, extend support to growers, and increase export subsidies.
According to data available on the Agmarknet portal of the Ministry of Agriculture and Farmers’ Welfare, prices at Maharashtra’s Lasalgaon APMC stood at Rs 1,098 per quintal during April 9–15, 2026, compared to Rs 1,088 per quintal during April 1–8. A month ago (March 9–15, 2026), prices in the world’s largest onion market were around Rs 927 per quintal, while a year ago (April 9–15, 2025), they were Rs 1,100 per quintal. This indicates a 1% weekly increase and an 18.6% rise over the month, although prices are still down 0.2% year-on-year.
In other Maharashtra mandis, prices during April 9–15 ranged from Rs 600 per quintal in Jamkhed to Rs 1,471 in Hingna and Rs 1,770 in Kamthi. A month earlier, prices were Rs 613 in Jamkhed, Rs 1,382 in Hingna, and Rs 2,290 per quintal in Kamthi, reflecting a sharp 22.7% decline in Kamthi mandi over the past month.
Farmer leaders demand immediate action from the government
Former Swabhimani Shetkari Sanghatana president and former Lok Sabha MP Raju Shetti told Rural Voice that the cost of onion production is around Rs 1,500 per quintal, while prices had fallen to as low as Rs 900. With the arrival of the rabi crop, prices may decline further in the coming days, he warned.
Shetti said onion exports to Bangladesh have nearly come to a halt, while shipments are currently limited to Malaysia and Sri Lanka. The disruption in exports has also contributed to the decline in domestic prices. He added that a letter has been sent to the government seeking support to help farmers hold their produce, but no action has been taken so far.
Former president of the Shetkari Sanghatana, Anil Ghanwat said onion prices had dropped sharply until two weeks ago, though some improvement has been seen since then. He noted that the government is procuring around 200,000 tonnes of onions through NAFED, while seed companies are also making purchases.
Additionally, traders and farmers are stocking onions in anticipation of a possible price rise during September–October, which has also supported prices. Ghanwat pointed out that export costs to Gulf countries have increased due to longer shipping routes, leading to renewed demands for higher export subsidies.
In a statement posted on X, Jayant Patil of the Nationalist Congress Party (Sharad Pawar faction) said that the cost of onion production is around Rs 2,200 per quintal, while farmers are getting only Rs 900–1,300 per quintal in the market. Calling it a “loss-making deal” for farmers, he said that continuing onion cultivation has become increasingly difficult under such conditions.
He wrote, “Export Banned, Prices Crash, Farmers in Despair! Onion production cost ₹2,200 per quintal, but in the market, it's fetching only ₹900 to ₹1,300. Farmers are disheartened; on one hand, exports have been halted due to the war. On the other hand, the harvested crop has been destroyed due to unseasonal rains. Due to this double crisis, farmers are caught in a bind. Hon. Chief Minister should immediately intervene to intensify efforts for onion exports and announce a proper minimum support price for farmers.”
WPI data shows pathetic prices
According to wholesale price index (WPI) data released by the Ministry of Commerce and Industry on Wednesday, onion prices in March 2026 were 42.11% lower compared to the same month a year ago. For the entire financial year from April 2025 to March 2026, the average price of onions declined by 47.53%.
Wholesale onion prices have been on a downward trend for at least the past six months. On a year-on-year basis, prices fell by 66.06% in October 2025, 64.70% in November, 54.40% in December, 33.42% in January 2026, 40.95% in February, and 42.11% in March. According to the Consumer Affairs Ministry, retail onion prices have remained below Rs 25 per kg for about a month.