The Government has stepped up efforts to keep onion prices under control by releasing buffer stocks through a combination of railway and road transport, improving supplies to major consumption centres across the country.
Under the initiative, railway rakes operating as the Kanda Express are being used alongside road transportation to move onions from producing regions to markets facing higher demand. Disposal of onions from the Price Stabilisation Fund buffer began on August 24, 2026, through NAFED and NCCF.
Two Kanda Express consignments have already been dispatched from Nashik. The first rake, carrying 450 metric tonnes (MT) of onions, reached Delhi on August 27. Of this, 140 MT was subsequently sent to Varanasi, Lucknow, Chandigarh and Amritsar, while the remaining quantity was distributed across Delhi-NCR.
A second, larger consignment of 840 MT reached Chennai on August 31. The Tamil Nadu Government plans to distribute these onions through the Public Distribution System, with a proposed allocation of 1 kg per ration card. Supplies are expected to reach districts across northern, western, eastern, central and southern Tamil Nadu.
Rail movement is being supported by road transportation, with around 1,000 MT of onions being moved to major consumption centres depending on market conditions and prevailing prices.
Retail intervention has also been expanded to 19 cities, with more than 30 trucks deployed to strengthen local availability. The cities covered include Delhi, Jaipur, Jammu, Dehradun, Shimla, Amritsar, Chandigarh, Kolkata, Guwahati, Lucknow, Varanasi, Patna, Bhubaneswar, Chennai, Madurai, Thrissur and Kochi, among others.
Onions are being offered to consumers at Rs 35 per kg through NCCF, NAFED and Kendriya Bhandar outlets as well as mobile vans.
Around 669 MT of onions have been sold so far. This includes 223 MT supplied through bulk channels using the e-NAM portal and similar online platforms at prevailing mandi prices, while another 446 MT has been sold through retail channels.
According to the Government, the buffer stock intervention has already helped improve availability and moderate prices in markets including Delhi, Varanasi and Amritsar. Additional supplies are expected to provide further support to market stability.
The initiative is also aimed at protecting farmer interests. Around Rs 210 crore has been paid directly to approximately 3,400 onion farmers, ensuring timely payments while the Government works to maintain affordable supplies for consumers.