Onion farmers blame trader nexus for declining prices

  • | Monday | 14th January, 2019

Only about a dozen traders participate in the APMC auction process – others stay away. Moreover, we want APMC to give licenses to new traders so there are more participants in the auction process and greater competition among traders. This will lead to rise in wholesale prices of onions and other produce,” he said.“There is need for healthy competition . These 10-12 traders have entered into a nexus to fix rates of onions and other agricultural produce. Farmers get a very low price as a result,” Deepak Pagar, a farmer, said.“We want APMC to cancel the license of traders who remain absent from the auction process.

NASHIK: Onion farmers have asked Nampur APMC in Satana taluka of the district to start allotting procurement licenses to new traders as most licensed traders are inactive.Farmers say although 40 traders have permits to take part in the auction, no more than a dozen of them turn up for auctions. Some farmers alleged that the few traders have entered into a nexus to keep prices of onions and other farm produce low.Farmers are at a loss since their onions do not get proper rates and there is no real competition between traders. They say the market would be more competitive if more traders were allowed to participate in auctions.A delegation of farmers recently met the secretary of Nampur APMC Santosh Gaikwad and handed him a memorandum of demands, seeking allotment of procurement license to new traders.“The Nampur APMC has given procurement license to 44 traders. Only about a dozen traders participate in the APMC auction process – others stay away. These 10-12 traders have entered into a nexus to fix rates of onions and other agricultural produce. Farmers get a very low price as a result,” Deepak Pagar, a farmer, said.“We want APMC to cancel the license of traders who remain absent from the auction process. Moreover, we want APMC to give licenses to new traders so there are more participants in the auction process and greater competition among traders. This will lead to rise in wholesale prices of onions and other produce,” he said.“There is need for healthy competition . Many traders do not participate in the auction process and appear only to use their licence to turn their black money white,” Pawar alleged.Last week, a farmer from Sakri taluka of the district had come to Nampur APMC to sell 30 quintals of fresh kharif onions. He had to wait three days in a queue to get his onions auctioned, and at the end of it a trader offered him just Rs 50 a quintal. The farmer dumped his all 30 quintals of onion on the road in frustration.Kuber Jadhav, another farmer, said a delegation of farmers will meet the deputy district registrar to urge him to make it mandatory for licenced traders to participate in the auction.

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