Tamil Nadu Launches Subsidized Onion Sales to Combat Inflation

The Government of Tamil Nadu launched a subsidized onion sale program on September 3, 2026, to mitigate the impact of soaring market prices on the public. Food Minister P Venkatraman initiated the scheme at a ration shop in Alwarpet, Chennai, where onions are sold at Rs 35 per kg. This price is significantly lower than open market rates, which currently range from Rs 56 to Rs 60 per kg due to reduced supply from Maharashtra and Madhya Pradesh following adverse weather.

The first phase of the program utilizes 1,000 tonnes of onions procured through the National Agricultural Cooperative Marketing Federation of India and the National Cooperative Consumers' Federation. The initiative targets approximately 80 lakh family cardholders across 8,739 urban ration shops, with a purchase limit of one kg per family.

The government action follows pressure from opposition parties and a call attention motion in the assembly. Udhayanidhi Stalin of the DMK criticized the TVK government for inflation in essential commodities and urged a consultative meeting with the Chief Minister to establish a lasting solution to the price hikes.