A surplus harvest in Perambalur district has caused shallot prices to plummet, with rates dropping to as low as Rs 10 per kg from last year’s Rs 30- Rs 40. Farmers are facing distress due to the oversupply, leading them to sell at very low prices or store their produce in hopes of a price increase.
Farmers are urging immediate intervention from the district administration to assist with direct procurement and market support. Despite the Geographical Indication (GI) tag received by the Chettikulam small onion last year, expectations of better prices and institutional support have not materialized, leaving farmers disappointed.
Shallot cultivation in Perambalur usually occurs in three cycles annually, with the current cycle covering nearly 5,000 hectares. The increased yield this year, averaging around 100 sacks per acre, has flooded the market, resulting in traders offering prices between Rs 10 and Rs 28 per kg, significantly lower than the previous year.
Farmers are expressing concerns over the lack of a proper marketing system to safeguard their interests. The mismatch between production costs and low selling prices is forcing many farmers to store their shallots in the hope of a future price rise, potentially leading to a decline in shallot cultivation if the situation persists.
Farmers are calling for government intervention, including direct procurement, elimination of middlemen, involvement of traders from other regions, and the establishment of storage and processing facilities. In response to these demands, District Collector N. Mirunalini has announced plans to hold a meeting with agriculture and marketing officials to address the pricing challenges faced by shallot growers.
