Now Reading: TNAU forecasts shallot prices at ₹60 to 65/kg during harvest
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TNAU forecasts shallot prices at ₹60 to 65/kg during harvest
The Story in Brief
Farm-gate prices of good-quality small onions (shallots) in Tamil Nadu are expected to range between ₹60 and ₹65 per kg during the harvest season, according to an interim price forecast by the Tamil Nadu Agricultural University (TNAU). The Domestic and Export Market Intelligence Cell at TNAU’s Centre for Agricultural and Rural Development Studies arrived at the forecast after analysing prices in the Dindigul market over the past 15 years and a market survey.
Small onions are a commercially important crop in Tamil Nadu, used widely in local cuisine, with demand strengthening ahead of festival seasons. Tamil Nadu produced 4.57 lakh tonnes of onions from 0.45 lakh hectares in 2025-26, while India produced 307.67 lakh tonnes from 19.68 lakh hectares, according to the Ministry of Agriculture’s Second Advance Estimates. Regular arrivals from key production centres have declined due to unfavourable weather, though supplies from areas such as Madhampatti and Theni are still reaching markets.
Tamil Nadu also exports small onions to Sri Lanka, Malaysia and Singapore, making the crop an important income source for farmers. The university has advised farmers to take appropriate marketing decisions to secure better returns.
Indian Opinion Analysis
The TNAU’s price forecast of ₹60 to 65/kg during the harvest season is based on a 15-year price trend analysis and a current market survey, but it comes amid declining arrivals from key production centres such as Udumalpet and Dharapuram. Unfavourable weather has reduced fresh produce availability, which could push actual prices above the forecast range if supply tightens further. The university advises farmers on marketing decisions, but the forecast does not account for volatile festival-season demand spikes or export fluctuations to Sri Lanka, Malaysia and Singapore. Farmers in districts like Dindigul and Tiruppur will need to weigh these risks against the forecasted floor, with market arrivals in the coming weeks providing the real test of price direction.
Source: thehindubusinessline.com
This brief was synthesised by AI from the source linked above. Methodology and corrections.
