The center releases more onions from the buffer to lower prices

On Monday, August 31, 2026, a train of onions from Nashik for distribution to the public through fair price trade arrived at Korrukkupet Goods Yard. Photo credit: RARU R

With onion and sugar prices continuing on the higher side for the second week ahead of the festive season, the Union Ministry of Consumer Affairs said here on Tuesday (01 Sep 2026) that it has initiated a “calibrated release” of onion stocks using rail and road transport to major consumer centers to ensure adequate availability and ease seasonal price pressures.

The Union government has also reduced the stock holding limit for dealers from 4,000 quintals to 2,000 quintals with effect from September 15 to November 30 to ensure adequate availability of sugar in the domestic market and to prevent hoarding and speculative trading.

The government said in a report that two consignments of ‘Kanda (Onion) Express’ weighing 450 metric tonnes (MT) were sent from Nashik in Maharashtra to Delhi and of this 140 MT were distributed through Varanasi, Lucknow, Chandigarh and Amritsar. “The second rake carrying 840 MT of onion reached Chennai on August 31. The Tamil Nadu government plans to distribute this onion through the public distribution system for a requirement of one kg per card. The onion is likely to be distributed in various districts of Tamil Nadu…,” the report added.

At the same time, about 1,000 MT of onions are transported by road to major consumer centres, the center added. “Retail intervention efforts have been significantly expanded in 19 cities, supported by the dispatch of more than 30 trucks to ensure wide availability,” the Union government said, adding that the release of onions from buffer stocks has improved market availability and reduced prices.

24/7 availability

Regarding sugar, the government added that under the amended storage provisions, a sugar trader should not hold any stock for more than 30 days from the date of receipt of such stock. “Do not store sugar in excess of 2,000 quintals at any time and at any place across the country. However, keeping in view the specific market requirements of the region, the stock holding limit will remain at 4,000 quintals for Kolkata and its extended metropolitan areas,” the report said. The measure was aimed at limiting hoarding, discouraging speculative trading and preventing excessive accumulation of sugar stocks. “It will facilitate the orderly movement of sugar in the supply chain and ensure its continuous availability to consumers at reasonable prices,” the center hoped.

Published – 01 Sep 2026 22:46 IST