Tamil Nadu Agricultural University today said there would be no scope for high prices of shallots on expectations of favourable rainfall and normal production of the onion and arrivals from major production centres.
TNAU has advised farmers to take appropriate decision while selling their produce as there is lack of scope for increase in price of good quality small onion (shallot), which is likely to prevail around Rs 21-23 per kg till June.
The price forecasting scheme of the Centre for Agricultural and Rural Development Studies in TNAU analysed farm gate prices of small onion in the last 13 years. The findings revealed that the prices will prevail around Rs 21 to 23 during May to June.
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With favourable rainfall and normal production of shallots, arrivals from major production centres would provide no scope for price increase, it said.
However, based on the likely onset of summer showers and the demand for seed onion, the prices may firm up, the analysis said.
Shallots, which originated from Central and South East Asia, are one of the regular vegetable ingredients in food preparation of South Indian cuisine.
Major small onion growing states are Tamil Nadu, Karnataka and Andhra Pradesh.
In Tamil Nadu, major shallot producing districts are Dindigul, Tiruppur, Perambalur, Tiruchirapalli, Namakkal, Theni and Madurai.
Most of the production of small onion is domestically consumed and arrivals from Karnataka and Andhra Pradesh facilitate domestic demand as well as export.
