PUNE: After pulses, onions could be the next big worry for the government. The June wholesale prices have hit a record high across the country and unless the government steps in, things can get worse in August-September, said trade experts.The average wholesale prices in growing markets such as Maharashtra, Rajasthan and Madhya Pradesh as well as in consuming centres like Mumbai and Delhi are Rs 16 per kg to Rs 17kg, the highest ever in June.But prices of best quality onions are higher at about Rs 22kg to Rs 24kg, which is attributed to the rising demand for Indian onions in Middle-East countries ahead of Ramadan Retail prices in most of the metros in the country , including the national capital, are between Rs 25 per kg to Rs 35 per kg. Onions from Rajasthan are selling for Rs 10 per kg to Rs 15 per kg in Azadpur mandi, while onions from Maharashtra are sold for Rs 20 per kg to Rs 24 per kg. Also, lot of cargo from Rajasthan and Maharashtra is damaged by rain," said one of the biggest onion traders from Azadpur APMC.Despite a bumper production of onion, unseasonal rains in March and April have damaged the crop, with rain water entering the bulb, leading to faster rotting.But along with fundamentals, speculation is also at play. “June is the time when sentiment for the remaining season starts to build up and it's important that the government acts now," said a Punebased trader, adding, "Last year, due to elections in Maharashtra, the government took strict measures to control prices. This year, there seems to be no movement so far."The central government has formed a price stabilisation fund of Rs 500 crore for onions. The state government in Delhi as well as the central government have been stocking up on onions to supply to the National Capital Region through National Agricultural Co-operative Marketing Federation and Small Farmers AgriBusiness Consortium.A meeting to consider revision of minimum export price (MEP) is expected next week, said people familiar with the matter. But trade veterans think that the government may have to import onions right away to keep the supplies going in August and September.Meanwhile, sowing of early kharif crop in Karnataka and Andhra Pradesh is being described as extremely good. This crop will hit the markets from August, but any damage to it, or delay in its arrival due to rains at the time of harvesting, will have an immediate effect on onion prices."Prices are ruling on the higher side.However, sowing is expected to be good and availability of seeds is also good," said RP Gupta of National Horticulture Research and Development Foundation.