Onion price crash sparks auction crisis, farmers erupt in Nashik

Nashik onion growers demand Nandgaon APMC dissolution as auctions stall and wholesale prices hit distress levels

Onion growers in Maharashtra’s Nashik district have intensified protests after wholesale onion prices crashed sharply, prompting a farmers’ body to demand the immediate dissolution of the Nandgaon Agricultural Produce Market Committee (APMC) over alleged failure in conducting auctions.

The Maharashtra State Onion Growers' Association on Tuesday accused the Nandgaon APMC administration of becoming “completely defunct” at a time when cultivators are battling severe financial distress due to falling onion prices and disrupted auction operations.

The protest escalated a day after agitating farmers dumped a tractor-load of onions outside the Nandgaon APMC premises while raising slogans against traders and market authorities. Farmers claimed that they were unable to recover even basic cultivation and transportation costs amid the sharp decline in wholesale onion prices across Nashik district.

According to traders and farmer groups, average-quality onions are currently being sold at ₹800 to ₹1,000 per quintal in several APMCs, while smaller varieties are fetching as little as ₹1 to ₹4 per kg. The steep fall has triggered panic among growers in one of India’s largest onion-producing belts.

In a strongly-worded statement, the association alleged that the Nandgaon market committee existed “only on paper” and lacked administrative control over auction activities. 

It further claimed that the chairman and senior officials were absent while farmers suffered mounting losses. “The market committee has completely failed in its primary responsibility of conducting auctions of farmers’ produce. This has created a state of anarchy and uncertainty in the market yard,” the association said.

The farmers’ body demanded the immediate dismissal of the existing board of directors and urged the Maharashtra government to appoint an administrator to restore normal functioning at the market committee. It also sought suspension of officers and staff members allegedly responsible for negligence.

The association warned that continued disruption in auction operations could deepen agrarian distress in the region and push onion cultivators into a more severe financial crisis. 

Farmers said delayed or cancelled auctions were forcing them to either sell produce at distress prices or dump their stocks due to lack of storage capacity.  

Nashik district plays a crucial role in India’s onion supply chain, and any prolonged disruption in auctions or price instability could have wider implications for both farmers and wholesale markets across the country.

The farmers’ association has warned of intensified protests if immediate corrective measures are not taken by the state authorities.    

—PTI