The government has expanded the release of onion buffer stock through railway rakes and road transport as part of efforts to maintain adequate supplies and moderate seasonal price pressures. According to the Press Information Bureau (PIB), the disposal of onions from the Price Stabilization Fund (PSF) buffer began on 24 August 2026 through NAFED and NCCF.
Two Kanda Express consignments have been dispatched from Nashik. The first rake carried 450 MT of onions and reached Delhi late on 27 August. Of this, 140 MT was sent to Varanasi, Lucknow, Chandigarh and Amritsar, while the remaining stock was distributed across Delhi-NCR.
The second Kanda Express, carrying 840 MT, reached Chennai on 31 August. The Tamil Nadu government plans to distribute the onions through the Public Distribution System against a requirement of 1 kg per card. The proposed distribution covers districts across the northern, western, eastern, central and southern parts of the state.
Retail intervention expanded to 19 cities
Alongside railway movement, around 1,000 MT of onions is being transported by road to major consumption centres based on market conditions and price trends. The retail intervention has now expanded to 19 cities, with more than 30 trucks deployed. These include Delhi, Jaipur, Jammu, Dehradun, Shimla, Amritsar, Chandigarh, Kolkata, Guwahati, Lucknow, Varanasi, Patna, Bhojpur and Sharif in Bihar, Bhubaneswar, Chennai, Madurai, Thrissur and Kochi. The Lucknow initiative was launched by Minister of State for Consumer Affairs, Food and Public Distribution B.L. Verma.
Consumers can continue to buy onions at ₹35 per kg through NCCF, NAFED, Kendriya Bhandar outlets and mobile vans. Around 669 MT has been sold so far, including 223 MT through bulk channels such as the e-NAM portal and similar online platforms at prevailing mandi prices, and 446 MT through retail channels.
The government said buffer releases have improved availability and eased prices in centres including Varanasi, Amritsar, Delhi and nearby markets. Prices declined from the day after disposal began, while further supplies are expected to support price stability.
The government has also paid ₹210 crore directly to around 3,400 farmers to ensure timely payments. Security measures have been put in place to prevent leakages and address security concerns during the movement and disposal of large onion consignments through railway rakes.
