New Delhi: In a bid to control the soaring price of onions in the domestic market, the Union Government has decided to suspend the exports of onions.

Union Finance Minister Pranab Mukherjee on Thursday expressed his concerns over the sky-rocketing prices of domestic commodities and said that the prices of food items may come down by the end of festive season.

However, the inflation rates of non-edible and petroleum products are worrisome, said Pranab.

Due to heavy rainfall in the states like Maharashtra, Rajasthan and southern states the production of current crops of onions and other vegetables has fallen drastically.

This has further led to the shortage in the supply of these products. Meanwhile, the stocks of potatoes are also unable to meet the market demand and hence leading to steep increase in its price.

Earlier, food inflation slipped to 9.55 percent for the week ended August 27, but the common man continued to reel under price pressure as all items barring pulses and wheat remained expensive.

Onions became dearer by 42.03 percent on an annual basis, while potato prices were up by 13.38 percent. Overall, vegetables became 22.42 percent costlier.

Milk and cereals, too became dearer by 9.12 percent during the review period.

JPN/Bureau