AIADMK general secretary Edappadi K Palaniswami has alleged that 450 tonnes of onions procured for Tamil Nadu cannot be accounted for, and that another 250 tonnes are rotting at a warehouse in Chennai. The allegations were made in a statement reported by Dinamalar on November 3, 2026. According to Urban Acres, the claims have not been independently verified against government or NAFED documents.
Key points
- Palaniswami alleged that 250 tonnes of onions kept at a Chennai warehouse were beginning to rot.
- He also referred to a separate 450-tonne consignment procured through NAFED, which he said is the subject of a dispute.
- No official records or responses from the government or NAFED were included in the report.
- The claims remain allegations and have not been verified.
What the allegations say
According to Palaniswami's statement, 250 tonnes of onions were bought from northern states last week and brought to Chennai by freight train. They were meant to be stored at a warehouse in Korukkupettai and then sent to other districts for sale through fair-price shops. He alleged that the onions stayed inside 10 trucks for three days without being unloaded, and so began to rot.
He also spoke of a separate consignment of 450 tonnes procured through the National Agricultural Cooperative Marketing Federation of India (NAFED). He alleged that the Tamil Nadu government refused to accept these onions, saying their quality was not good enough. NAFED, he said, is reportedly stating that the consignment has not been returned. He described this as an unresolved discrepancy.
Why it matters
Onion prices in the open market have risen sharply, according to the report. The plan to sell onions through fair-price shops was meant to give consumers a cheaper option. If the stock spoils or goes missing, that purpose could be affected.
The report points out that such a programme involves many steps: buying from producing regions, moving the stock by rail and road, checking quality, accepting it, storing it, allocating it to districts and finally selling it. A delay at any point can damage a perishable item like onion.
What is not known
The report does not give the buying price, the planned retail price, the districts meant to receive the onions or the quantity for each district. It also does not say whether the 250 tonnes in the trucks were part of the 450-tonne consignment or a separate lot. That point is important for understanding the size of any loss.
No government order, warehouse record, transport document, NAFED letter or inspection report was included. The Tamil Nadu government, NAFED, the Korukkupettai warehouse authorities and the transport agencies have not responded in the material reported. The report says the available information shows only that the issues have been alleged, not that the stock was definitively lost or that public money was wasted.
Palaniswami called for stricter implementation of measures to control price rises and criticised the state government's handling of the onion programme. Verification would need the procurement, transport, acceptance, storage and distribution records, along with an official clarification on the status of both consignments.