Indian onion wholesale prices jump 31% as stored supplies run down
India’s average wholesale onion price rose 31.3% month on month to 4,249 rupees per quintal in September 2026. Prices also crossed 4,000 rupees per quintal at Lasalgaon, but depleted stocks mean many farmers have little produce left to sell at the higher rates.
Average wholesale price reaches 4,249 rupees
India’s average wholesale onion price rose to 4,249 rupees per quintal in September 2026, up from 3,235 rupees in August, according to Janta Se Rishta. The increase of about 31.3% in one month is feeding into retail prices and raising costs for households, restaurants, roadside eateries and small food businesses that use onions as a staple ingredient.
The year-on-year increase was even larger. The average wholesale quotation stood at 1,837 rupees per quintal in September 2025, putting the September 2026 level about 131.3% higher. The difference exceeded 2,400 rupees per quintal. Because onions are widely used in vegetables, lentils, salads and prepared meals across India, a sustained increase affects both household food budgets and commercial kitchen margins.
Lasalgaon crosses a key price threshold
Prices at the Lasalgaon agricultural produce market committee in Maharashtra’s Nashik district moved above 4,000 rupees per quintal after remaining below that level for roughly two years, Janta Se Rishta reported. Lasalgaon is a closely watched reference market for Indian onions, and the move highlights tightening availability as stored supplies run down.
Higher quotations do not translate into equal gains for all growers. Farmers who have already exhausted their stocks cannot sell significant volumes into the rally, limiting the benefit of the price increase. Those still holding marketable onions are better placed, while buyers face greater competition for the remaining supply. The imbalance shifts value toward stockholders and traders with available inventory rather than the wider farming community.
Regional increases widen pressure on buyers
Uttar Pradesh recorded the sharpest state-level monthly rise cited in the report. Its average wholesale price climbed from 1,940 rupees per quintal in August 2026 to 2,923 rupees in September, an increase of about 50.7%. The rise matters because the state’s large cities and towns generate substantial everyday demand. Higher wholesale costs can move through the supply chain to retailers and food-service operators, which must either absorb the increase, raise menu prices or reduce onion use.
The government is offering onions in several cities at about 35 rupees per kilogram to provide consumers with relief from elevated market prices. Janta Se Rishta said the reach of the initiative remains constrained by limited sales points and availability, leaving many consumers dependent on regular retail markets. The next direction for prices will depend on arrivals at wholesale markets and the availability of remaining stocks. Improved supply could ease the pressure, but depleted inventories currently restrict farmers’ ability to capture the higher prices while exposing consumers and food businesses to increased costs.
