Government Plans AI-Based Warehouses to Curb Onion Wastage

The Centre has permitted the export of 64,400 tonnes of onions to UAE and Bangladesh through the National Cooperative Exports Ltd, according to notifications issued by the Ministry of Commerce and Industry

The Indian government is taking a technological approach to address the significant annual wastage of onions, a highly perishable kitchen staple, by planning the establishment of AI-based warehouses. Approximately ₹11,000 crore worth of onions go to waste each year, with around one-fourth of rabi onions, sown during winters, rotting in conventional storage facilities.

 

The new initiative aims to leverage artificial intelligence and the Internet of Things (IoT) to curb this wastage. AI-based sensors will be installed in warehouses to provide real-time data on the condition of stored onions. The government envisions saving about 5% of the total wastage through this technological intervention.

 

The pilot project is scheduled to kick off in March, with the first AI-based storage facility set to be established in Nashik, a major onion-producing region. The National Cooperative Consumers Federation will support this initial endeavor, with plans to extend the project to Bheed, Latur, and other onion-growing regions, including Madhya Pradesh and Karnataka.

 

The data collected through IoT and AI-based sensors will offer farmers specific information about the stored onions, including details about dryness and the percentage of rot. This level of granularity will empower farmers to identify and address issues promptly, potentially reducing post-harvest losses.

 

Furthermore, the initiative aims to enhance the government’s ability to maintain a buffer stock of onions, which is typically used to stabilize retail prices during periods of increased demand. The establishment of AI-based storage facilities aligns with the government’s broader efforts to modernize agricultural practices and reduce wastage.

 

In the initial phase, approximately 100 AI-based storage facilities are expected to be established in onion-growing states. The government plans to expand this initiative by adding about 500 centers over the next three years. While the officials did not disclose the project’s budget, they emphasized its cost-effectiveness.

 

The perishable nature of onions, coupled with sub-optimal storage infrastructure and limited processing facilities, contributes to substantial post-harvest losses. Despite the rabi variety having a longer shelf life of 5-7 months, challenges persist in managing the storage and distribution of onions effectively.

 

This initiative follows earlier attempts by the government to address onion wastage, including a pilot project involving the irradiation of onions with gamma rays. With India being the second-largest global producer of onions, these technological interventions aim to create a more sustainable and efficient supply chain for this essential kitchen ingredient.

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