Govt hikes onion procurement rate to Rs 16.5 per kg

Key facts

• The government increased the onion procurement price to Rs 16.50 per kg.
• The revised rate is effective from Saturday, June 13, 2026.
• The previous procurement price was Rs 15.80 per kg.
• The government aims to boost farmers' income and manage buffer stocks.
• The annual procurement target is 2 lakh tonnes.

The Indian government has increased the procurement price for onions to Rs 16.50 per kg from Rs 15.80 per kg, effective Saturday, June 13, 2026. This decision, announced by Union Food and Consumer Affairs Minister Pralhad Joshi, is part of the government's efforts to bolster farmers' incomes and manage buffer stocks for market intervention through the Price Stabilisation Fund.

The revised Minimum Assured Procurement Price (MAPP) aims to be more responsive to market conditions. The government has set a procurement target of 2 lakh tonnes for the current year, a decrease from the 3 lakh tonnes procured in the previous year. Onion output for 2025-26 is estimated at 307.37 lakh tonnes, slightly down from 307.67 lakh tonnes in 2024-25.

Earlier, farmers in Maharashtra, the country's largest onion-producing region, had demanded a procurement rate of Rs 30 per kg, citing high input costs. They expressed concerns that the current procurement rates offered by agencies like NAFED and NCCF were insufficient and led to losses.