After I-T raids, onion markets may stay closed

Nashik: Onion markets in Nashik district remained closed on Friday and are likely to be closed indefinitely as merchants did not arrive for the auctions in protest against the income-tax department’s raids on some merchants’ premises the day before.

Chandwad Agriculture Produce Market Committee (APMC) Chairman Dr Atmaram Kumbharde said that farmers brought onions for auction but there were no buyers and the auctions had ceased throughout the district.

While the Onion Merchants’ Association leaders have refused to comment, a merchant who preferred anonymity said that they were trying to sell off the earlier stock.

“Under these circumstances, we don’t know how much stock can be stored under one licence or if the District Supply Officer may check our stocks. So we will sell off the earlier stock and then enter the market.

“Secondly, onion rates are already down and may fall further, which will infuriate farmers. So we will discuss the issue and possibly begin purchases on Monday or Tuesday,” he said.

Onion prices have gradually risen due to heavy demand from other states, which lost the crops to inclement weather.

On Thursday, income-tax officials conducted searches on seven leading merchants, which continued on Friday.

Earlier, the government felt that the merchants were hoarding onion and was closely monitoring the stock position. Due to this scare, the merchants were reluctant to purchase onion and caused a fall in prices.

Lasalgaon APMC chairman Jaydatt Holkar said that he was discussing the issue with the merchants. “APMC office-bearers will soon hold a meeting with the merchants and appeal to them to purchase onions,” he said.

Sansari Farmers’ Society director Sudhakar Godse said that the merchants were responsible for the impasse. “The merchants had purchased onions earlier at '5 per kg and hope to sell it at five times that amount,” he alleged.