Nuffoods Spectrum - NUFFOODS Spectrum Jan 2025

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Will PRICE CAP DISRUPT BOOMING NUTRA INDUSTRY? Onion prices surged to Rs 100-150 per kilogram in 2019 due to poor monsoon and subsequent crop damage. The government responded by banning exports, imposing stock limits, and importing onions. While these steps reduced domestic prices, farmers and exporters protested, citing financial losses. Critics argued that better supply chain management and long-term investments in storage infrastructure would have been more effective than reactive price controls. Price control measures on onions highlight the delicate balance between protecting consumer interests and ensuring farmer welfare. While such interventions offer immediate relief, they often come at the cost of long-term market stability, making them a subject of recurring controversy. The same situation could be a reality for the Indian nutraceuticals sector in 2025 if the idea of bringing nutraceuticals under the Central Drugs Standard Control Organisation (CDSCO) activates on the field. Let’s explore further.