NASHIK: Onion traders have said that they suspended auctions in all agriculture produce market committees in Nashik district of Maharashtra and their protest will continue indefinitely, a development raising the fear of shortage of the kitchen staple in retail markets and hike in prices.

An office-bearer of the Nashik District Onion Traders Association (NDOTA) said on Wednesday they were protesting against the Union government’s recent move to increase export duty on onions up to 40%.

Taking serious cognisance, the District Sub-registrar, Co-operative Societies, on Wednesday night issued an order directing all APMCs to suspend or cancel the licences of the striking traders and submit the Action Taken Report on September 21.

“In protest against the export duty hike decision, we have decided to shut the auction of onions in all APMCs in the district indefinitely. This (export duty hike) decision of the Centre will not only make export of onions difficult but it will also affect the onions in transit, causing huge loss to farmers,” the office-bearer said.

Earlier on Wednesday, Maharashtra marketing minister Abdul Sattar said that observing a bandh (shutting auctions of onions) was not right.

“Secretaries in the departments of cooperation and marketing will discuss the action to be taken as per rules and Nashik district collector will take the necessary action,” he said on the sidelines of an event.

Auctions of onions remained closed at most of the APMCs in Nashik district, including at Lasalgaon, the largest wholesale onion market in India, on August 20.

“We had given time till September 19 to the government to find a solution to our demands. But as our demands are not agreed to yet, we have decided to shut the auction of onions indefinitely,” the office-bearer said.

The other demands raised by traders include the cancellation of export duty on onions, a 50 per cent reduction in market fees.