PRESENTATION ON

“ONION PRICE SOARS BRINGS TEARS TO AAM AADMI’S EYES”

Saturday 05, 2013 by-Ankit Attree & Amit Kumar

Students (MBA) IEC University, Baddi (H.P.)

Introduction:Onion price have more than tripled over the past year , with the wholesale price up 245 per cent.

Inflation as measured by the wholesale price index jumped to 6.1 per cent in August from 5.79 per cent in July, according to the commerce department.

Asia's largest wholesale onion market, prices have jumped by 16 per cent in just three days. Onion traders here face losses of up to Rs 20 crore daily.

Rising onion prices push inflation to 6-month high

REASON FOR HIKE RATEDemand is high but supply is low.After a drought hit crops last year and heavy rain damaged crops this year.

Cooking is impossible without onion.Export is maximum.Initially lack of enough water for the crop and later on excessive rain was the reason given for the shortage of this food item.

Traders are keeping the stock and selling it at high price and thus making full advantage of the seasonal shortage.

Recently fuel prices have been increased by the government to stop the downfall of our economy.

HOW TO REDUCE PRICE OF ONION

Increase production.Stop stocking.Reduce export.Direct purchasing from farmers.

Stop miss using.Control on diesel price.

PRICING The price of onion has added to Rajan's already full plate as the new head of RBI wrestles over how to help stabilize the rupee currency and tackle inflation without further dampening economic growth

In August, the cost of onions was 245 per cent higher than a year earlier, while other vegetables shot up 77 per cent, driving headline inflation to a six-month high. Onion prices have risen even further in September, prompting the government to take steps

Strong rains in the current monsoon season mean some are predicting a bumper onion crop this year - and farmers are forecasting prices will drop sharply over the next few weeks.Discount site Group on offered onions at 9 rupees per kilogram earlier this month, a discount of as much as 90per cent, advertising the deal with the image of an onion in a jewellery case. Demand was so high its site crashed.

TABLE:-QARTERLY EXPORT ONION

GRAPH OF MONTHLY SALE OF ONION

TABLE:- MONTHLY SALE OF ONION PRICE

GRAPH:- QARTERLY EXPORT ONION

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