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Manthan1709

Apr 1, 2025

Onion Prices May Decline In India In April Month

Onion Prices May Decline In India In April Month

Strong Crop and Global Supply to Keep Onion Market Under Pressure

India’s onion market, particularly in Gujarat, is expected to remain weak in April as arrivals increase from key growing regions. According to market experts, onion prices may fall by USD 0,24–0,30 per 20 kg (approximately USD 0,012–0,015 per kg) in the coming weeks due to strong crop output and limited export opportunities.

In Rajkot, the last red onion trades before the market closure were reported between USD 1,80–4,32 per 20 kg for good quality and USD 1,20–1,80 per 20 kg for weaker lots. Nashik quality fetched USD 4,20–5,16 per 20 kg.

High Production and Stocking Likely

Saurashtra has seen a 10–15% rise in onion production this year compared to last season. While arrivals of yellow-leaf onions remain limited at the moment, volumes are expected to pick up significantly within 8–10 days. As prices remain subdued, stockists are expected to begin active buying. Farmers are also likely to store part of their crop to wait for better prices, which is common practice with around 10% of total production held back by growers.

However, the true market behavior will be clearer over the next 15–20 days as supply increases and farmer sentiment becomes more apparent.

Global Conditions Cap Export Potential

Even though India has removed the 20% export duty on onions, global conditions are not favorable for a major uptick in exports. Other producing nations such as Pakistan and China have reported 2–10% higher production, keeping international prices low.

Onion Price Snapshot – March 2025

With a strong domestic harvest and global oversupply, India's onion prices may stay under pressure unless fresh export orders pick up.
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