The Gujarat government has announced financial assistance of Rs 200 per quintal under the Price Deficiency Payment Scheme to support onion farmers hit by falling market prices. The scheme aims to provide relief to growers affected by a drastic fall in onion prices due to bumper production in the state.
ડુંગળીના ઓછા બજાર ભાવને પગલે ખેડૂત હિતલક્ષી નિર્ણય લેવા બદલ માન. મુખ્યમંત્રીશ્રી @Bhupendrapbjp જી અને રાજ્ય સરકારનો ખૂબ ખૂબ આભાર. pic.twitter.com/mUhfVUfq1d
— Raghavji Patel (@RaghavjiPatel) June 30, 2025
Agriculture Minister Raghavji Patel announced the decision, stating that during the 2024–25 season, onion cultivation in Gujarat expanded to nearly 93,500 hectares- well above the usual sowing area. This surge in cultivation led to an estimated production of 248.70 lakh quintals. However, the resulting oversupply caused prices of red and white onions in major Agricultural Produce Market Committees (APMCs) to fall below production costs.
To mitigate farmers' losses, the state government will provide assistance of Rs 200 per quintal for up to 250 quintals per farmer, capped at Rs 50,000. This support will be given to farmers who sold their onion produce in APMCs between April 1 and May 31, 2025.
The financial aid is part of the central government’s Market Intervention Scheme (MIS), implemented in Gujarat through the Price Deficiency Payment mechanism. A total budget of Rs 124.36 crore has been allocated for the scheme, which is expected to benefit approximately 90,000 onion farmers across the state.
Eligible farmers can apply online through the i-Khedut 2.0 portal from July 1 to July 15, 2025. The scheme will be managed by the Directorate of Horticulture under the Department of Agriculture.
