The Rajasthan government has sanctioned a revolving fund of Rs 4 crore to the state cooperative department to buy onion from wholesale market and sell it to buyers at the same price.
The process has begun for procuring onion from the wholesale market and selling it to customers in district headquarters at Rs 30 to 35 per kg, Principal Secretary of the Cooperative Department V.C Sharma told PTI here.
The cooperative department was asked by the state government to bear the cost of transportation, wastage and taxes, and sell onion to customers at the wholesale price in pack of two kg to customers without any discretion, Sharma said.
Onion was being sold to customers through six centres of Upbhokta Bhandar in Jaipur, he said.
Illegal hoarding by stockists was the main reason of soaring prices of onion, he said, adding the crisis would end by early next month when the fresh crop arrives.
Onion crop from Mathania in Jodhpur will be available in the market soon, and the new supply will start coming from Nasik in September, Sharma said.
At present, onion is being sold in the retail market of the state in the range of Rs 50 to 70 per kg (based on variety).