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Tamil Nadu to sell onions at ₹35/kg in fair price shops

Tamil Nadu has announced a price control measure to make onions more affordable for consumers, with government fair price shops set to sell the commodity at significantly discounted rates compared to open market prices.

LSN India · 1 September 2026

Tamil Nadu to sell onions at ₹35/kg in fair price shops

The Tamil Nadu government announced plans to supply onions through urban fair price shops at ₹35 per kilogram as part of efforts to control rising prices of the essential commodity. The move comes as onion prices in the open market have climbed to ₹56-₹60 per kg, straining household budgets across the state.

According to state government officials, the sharp increase in onion prices stems from supply shortages in major onion-producing states including Maharashtra and Madhya Pradesh. These regions, which typically contribute significantly to national onion supplies, have experienced reduced output, creating upward pressure on prices across India.

By directing onions through fair price shops at a controlled rate of ₹35 per kg, the state aims to provide relief to consumers and mitigate the impact of market-driven price volatility. The move underscores the government's commitment to ensuring food security and containing inflation in essential commodities.

The initiative targets urban consumers who depend on fair price shops for subsidized provisions. Supply chain management through government channels is expected to help stabilize prices and prevent further escalation in the retail market.