Government Grants Subsidy of ₹350 per Quintal to Alleviate Onion Farmers' Financial Burden in Maharashtra
The Indian government has announced a subsidy for onion farmers in Maharashtra, the state that produces 35% of the nation's total onion output, in response to a significant decline in the price of summer onions in 2023.
Under the subsidy policy, farmers in Maharashtra, including those in Mumbai, will receive a government-declared subsidy of Rs 350 per quintal on onions sold to Agricultural Produce Market Committees, private markets, and NAFED. This subsidy is applicable to sales made between February 1 and March 31, 2023, and is capped at a maximum of 200 quintals per farmer.
According to reports, a total of 14,661 farmers across Maharashtra have been sanctioned financial assistance amounting to Rs 28.32 crore. The state government declared this subsidy to alleviate distress caused by falling onion prices and to stabilize farmers' incomes in the region.
Maharashtra's onion-producing neighbouring states, such as Gujarat, Karnataka, Bihar, Andhra Pradesh, Rajasthan, Haryana, and Telangana, also play significant roles in India's onion production.
A high-level meeting was organized to find solutions for onion farmers, focusing on protecting them and improving market access. The meeting's outcomes were re-examined to ensure the best possible support for the farmers.
In July, Maharashtra Revenue Minister Chandrashekhar Bawankule met with Union Ministers Pralhad Joshi and Piyush Goyal to address issues faced by onion growers. BJP leader Bachchu Kadu demanded a minimum price of ₹24/kg for onions, while Marketing Minister Jaykumar Rawal supported direct procurement for onions.
Agriculture Minister Manikrao Kokate called for transparency through Market Committees, emphasizing the importance of fair and open markets for farmers. The Maharashtra government is committed to the progress of farmers and growth in the dairy sector.
A report by Loksatta confirmed the sanctioning of this budget for onion support to 14,661 farmers in Maharashtra. The total amount sanctioned for this subsidy is Rs 28 crore 32 lakh 30 thousand 507. However, certain farmers were not eligible because they did not have onion crop records for seven to twelve passes when receiving the subsidy.
The subsidy is available for onions sold in Mumbai, and the state government is working diligently to ensure that the subsidy reaches as many eligible farmers as possible. The subsidy is part of the government's ongoing efforts to support farmers and maintain the stability of the agricultural sector.
The subsidy in Maharashtra, intended to support onion farmers, is not only applicable to sales made in Agricultural Produce Market Committees but also in private markets and NAFED. The weather conditions in Maharashtra, along with those in neighboring states like Gujarat, Karnataka, and others, significantly impact the health of the nation's onion production.