Gujarat govt declares ₹200/quintal aid for onion farmers; ₹124 cr allocated for 90k farmers

Gandhinagar:  In view of falling onion prices in the market, the Gujarat government today announsed that it will provide financial assistance of ₹200 per quintal, up to a maximum of ₹50,000, to affected farmers.

Announcing the decision, Agriculture Minister Raghavji Patel said that during the year 2024–25, onion was sown in approximately 93,500 hectares in Gujarat, exceeding the normal sowing area. Onion production in the state has reached an estimated 248.70 lakh quintals.

He further stated that due to this bumper production, the prices of red and white onions in major APMCs had dropped below the cost of production. To support farmers in this situation, financial assistance will be extended under the Price Deficiency Payment Scheme, as part of the Market Intervention Scheme (MIS) of the Government of India.

Farmers who sold onions in APMCs between April 1 and May 31, 2025, will receive ₹200 per quintal. Assistance will be provided for a maximum of 250 quintals (25,000 kg) of onions per farmer, amounting to a ceiling of ₹50,000. To support this scheme, the state government has allocated ₹124.36 crore, which is expected to benefit around 90,000 farmers across Gujarat.

The Minister noted that farmers and farmer organizations had approached the government, seeking support due to low market prices for onions. Responding positively to their concerns, the state has taken this significant step to assist them.

To avail benefits under this scheme, eligible farmers must apply online via the i-Khedut 2.0 portal between July 1 and July 15, 2025. The scheme will be implemented by the Director of Horticulture, under the Agriculture Department. DeshGujarat