Price of onion at Mandi

In the NDTV show yesterday it is seen that the price of onion in the mandies in the onion cultivation area is ruling at Rs 16 to 20 per kg at the most.The price can at best be not more than Rs 25 per kg in the retail.Then why the price in retail is ruling at Rs 40 pr more.?
Govt.shd.ponder over the issue more  

simple words, middle man making money without any efforts, most of them having political support or union support. more  
One can also look a bit deeper. Study the modus operandi of the whole sale trader in cahoots with a powerful and corrupt local political party bosses. This is a privileged group who get scores of facilities from the government that they don't deserve nor do they need. Systematically introduce competition at all levels and break the monopoly. These people frequently, openly and bluntly claim they have paid 100-500 crores to NCP bosses every time there is a price shoot of onions. They get preferential treatment in all check nakas, toll nakas, octroi etc. These people keep a logo of NCP or MNS behind their cars and whiz past the toll nakas with impunity. more  
The importance of one cultivating area should be reduced by creating more and more cultivating areas of a particular crop in various other regions of the country, we should also see whether onion can be cultivated in hilly areas during summer. more  
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