India: Onion prices rebound across major markets as supplies remain tight

• Onion prices rise sharply in most major markets between August 31 and September 7
• Delhi and Nashik cross INR 5,000/quintal, while Indore records the strongest weekly gain

Onion prices strengthened across most major markets during the week ended September 7, with six of the seven tracked markets recording gains from August 31. The broad-based increase indicates continued firmness in market supplies, particularly across key consuming and trading centres.

Nashik and Delhi lead the market

Nashik prices increased from INR 4,407/quintal on August 31 to INR 5,076/quintal on September 7, a rise of around 15%. Delhi recorded a similar movement, with prices rising from INR 4,333 to INR 5,085/quintal, up around 17%. Delhi recorded the highest price among the markets tracked on September 7.

Vashi prices also increased significantly, rising from INR 4,302 to INR 4,890/quintal, while Pune prices rose from INR 4,515 to INR 4,887/quintal. Ahmednagar followed with an increase from INR 4,425 to INR 4,837/quintal.

Indore sees sharpest weekly recovery

Indore recorded the strongest percentage increase during the latest week, with prices rising from INR 3,440 to INR 4,095/quintal, an increase of around 19%. However, prices remained below the August 24 level of INR 4,332/quintal.

Solapur was the only market to remain unchanged week-on-week at INR 4,727/quintal. Despite the recent stability, prices in Solapur remained below the INR 4,970/quintal recorded on August 24.

Overall, the data shows that onion prices have regained momentum after the correction seen in several markets during the week ended August 31. Nashik, Delhi and Vashi have moved above their August 24 levels, indicating renewed price pressure across major trading and consumption centres.

Outlook

Onion prices are likely to remain firm in the near term as market availability remains a key concern. The pace of arrivals from producing regions and the entry of supplies from Madhya Pradesh and Karnataka will be important in determining whether the recent price gains sustain or moderate.