Government releases buffer onions at Rs 35/kg as retail prices touch Rs 60

The Centre has begun buffer-stock sales through NCCF, NAFED, Safal and Kendriya Bhandar, alongside Nashik-to-Delhi Kanda Express shipments, to ease onion prices ahead of the festival and wedding season.

— Source publishedThu, 27 Aug, 2026, 11:39 IST·First seen Thu, 27 Aug, 2026, 12:09 IST·Source Business Today · Latest

What happened

Government of India · The government released buffer onion stocks and launched Nashik-to-Delhi Kanda Express supplies to curb rising prices. Onions will be sold

Key facts

  • Onion retail prices reached about Rs 60/kg
  • Government retail sale price: Rs 35/kg
  • More than 15 trucks planned
  • Supply planned for more than 10 locations
  • Average onion retail price as of August 26: Rs 37.87/kg
  • Average tomato price: Rs 38.33/kg
  • Average potato price: Rs 22.63/kg

Why this matters

Retailers can use the expanded NCCF, NAFED and public-distribution network as a catalyst for partnerships in produce sourcing, last-mile distribution and cold-chain logistics.

What to watch

  • Daily onion arrivals and modal wholesale prices at Nashik, Lasalgaon, Azadpur and major urban mandis.
  • Actual number of trucks, tonnes released and cities/outlets covered versus the announced distribution plan.
  • Retail price gap between NCCF/NAFED/Safal/Kendriya Bhandar outlets and private grocery or quick-commerce platforms.
  • Festival and wedding-season demand indicators, weather disruptions and transport availability from producing belts.
  • Further government actions such as expanded buffer releases, anti-hoarding enforcement, stock limits or procurement changes.
  • Grocery chains and quick-commerce platforms may run onion-led value baskets or price-match government outlets in affected cities to protect footfall and price perception.
  • Independent retailers may reduce visible onion prices selectively while recovering margins through other vegetables, bundled purchases or smaller pack sizes.
  • Modern trade buyers may accelerate direct procurement from Nashik and other producing regions to secure supply before seasonal demand peaks.
  • Government agencies are likely to add mobile vans, extend city coverage and raise daily release volumes if retail prices do not fall materially within one to two weeks.