Onion Tears from onion prices

Onion Shortage Seen Worsening in India as Rain Delays Crop - Bloomberg: "Onion prices in India may extend a record rally as heavy monsoon rains delay harvests and worsen a shortage, potentially accelerating food inflation in Asia’s third-largest economy.
Retail prices of the vegetable used in everything from soups to curries soared to 70 rupees ($1.13) a kilogram (2.2 pounds) in New Delhi this week from 20 rupees three months earlier, according to the Consumer Affairs Ministry. Prices may increase further as farmers are unable to pick the crop due to monsoon rains, said C.B. Holkar, a director at the National Agricultural Cooperative Marketing Federation of India Ltd.
Surging onion prices may fuel inflation and limit the Reserve Bank of India’s room to ease interest rates to revive the weakest economic growth in a decade. Prime Minister Manmohan Singh needs to curb food prices and stem a decline in the rupee to boost the prospects of his Congress party in state polls later this year and the general elections due by May."

'via Blog this'