Sambalpur: Onion Prices Skyrocket to Rs. 65 in Sambalpur; Allegations of Hoarding and Market Manipulation

Onion Prices Bring Tears to Middle-Class Kitchens

Sambalpur: In Sambalpur, the price of onions, a kitchen staple, has surged again within just a few months, reaching Rs. 65 per kilogram. Middle-class families are finding it difficult to buy onions, while they are now completely out of reach for the poor. Despite this sharp rise, the administration remains passive, allowing the situation to escalate.

Speculation and Hoarding Raise Concerns

Reports suggest unscrupulous traders are hoarding onions, creating an artificial shortage to push up prices. This has triggered widespread concerns, as cold storage facilities in the district appear to be part of the issue. Sambalpur has six cold storage units with a total capacity of 28,000 metric tons. However, questions are being raised about whose produce is actually stored there—farmers or traders.

Farmers Forced to Sell at Low Prices, Traders Control Market

Farmers in Sambalpur often cannot store their produce due to limited facilities and are forced to sell onions and potatoes at low prices. Meanwhile, a significant portion of the region’s onion supply comes from other states. Traders reportedly exploit this dependence by controlling stocks and inflating prices. During price surges, cold storage units, instead of benefiting farmers, seem to favor traders who hoard large quantities.

Sudden Price Jump in a Week

Within just a week, onion prices jumped from Rs. 40 to Rs. 65 per kilogram. This steep increase has not only removed onions from the plates of the poor but also made it difficult for middle-class families to afford them. Meanwhile, reports indicate that a significant quantity of onions is still stored in the district’s cold storage facilities, adding to suspicions of hoarding.

Cold Storages Under Scrutiny

The six cold storage facilities in the district include locations in Kenghati, Sasan, Padia Bahal, and Bamra, each with a capacity of 5,000 metric tons, while Bareipali and another unit in Bamra can store 4,000 metric tons each. These facilities primarily store potatoes and onions. However, allegations suggest that during price hikes, these storages are occupied more by traders than farmers, raising questions about transparency and proper regulation.

Lack of Oversight Encourages Black Market

These cold storages, set up with government subsidies, are meant to stabilize prices. However, due to a lack of regular inspections and monitoring by the supply department, they are allegedly promoting black market activities instead of controlling prices. This mismanagement has led to an avoidable burden on consumers while benefiting only a few traders.

In conclusion, the rising onion prices have caused significant distress among consumers, while farmers face losses due to systemic issues. Immediate intervention and stricter regulations are needed to ensure fair practices and price stability in the market.