Maharashtra Chief Minister Devendra Fadnavis on Tuesday, 27 May 2025, confirmed that the state government is actively monitoring fuel supply and distribution networks amid an abnormal spike in retail consumption, and warned that action will be taken against hoarders. The state's Food and Civil Supplies and Home Departments are jointly overseeing the supply chain to prevent disruption.

Alarming Consumption Surges Across Districts

Speaking to the media after the weekly cabinet meeting — accompanied by Deputy Chief Minister Eknath Shinde — Fadnavis said that specific districts are recording sharp spikes well above seasonal norms. Akola has reported a staggering 154 per cent increase in fuel consumption, while districts including Chhatrapati Sambhajinagar, Beed, Bhandara, Buldhana, Gondia, and Hingoli have each logged increases of up to 70 per cent over regular market consumption levels.

To stabilise demand, the state has already ramped up petrol distribution by 23 per cent and diesel distribution by 52 per cent, according to Fadnavis.

Hoarding and Commercial Diversion Under Scrutiny

'The administration is analysing variations between commercial and retail fuel supply segments to verify that retail resources are effectively reaching agricultural and consumer lines,' Fadnavis said. The government suspects that a portion of retail fuel is being diverted for commercial use — a practice that, if confirmed, could artificially inflate consumption figures and strain supply lines meant for farmers and households.

This comes a day after the Maharashtra government and public sector Oil Marketing Companies — BPCL, IOCL, and HPCL — through State Level Coordinator Mihir Ganesh Joshi, assured consumers on Monday that adequate stocks of petrol, diesel, and LPG are available across the state. The companies confirmed that replenishment cycles at petrol pumps are being maintained without disruption.

Onion Crisis: Centre Calls Emergency Meeting

Fadnavis also addressed Maharashtra's deepening onion crisis, announcing that the Centre has convened a meeting on Wednesday to discuss the distress faced by onion growers. He stated that the Central government has enhanced procurement support, raising rates by ₹3.5 to approximately ₹15 per kg, and that the state has requested a comprehensive review with central authorities to evaluate long-term market intervention strategies.

The CM sharply criticised the opposition, accusing them of 'doing politics for photo ops' on the onion issue, and reiterated that both the state and Centre are committed to taking further steps to support farmers.

Scale of the Onion Crisis

The onion belt of Maharashtra — primarily Nashik, Chhatrapati Sambhajinagar, and parts of Marathwada — is witnessing severe farm distress. In several Agricultural Produce Market Committees (APMCs) including Satana, Lasalgaon, and Paithan, wholesale rates for lower-to-average quality onions crashed to between 50 paise and Re 1 per kg in early May. Premium quality stocks are fetching only ₹12 to ₹15 per kg.

According to data from the State Agriculture Department, cultivation rose to 10 lakh hectares in the 2025-26 season, yielding a bumper 165–170 lakh metric tonnes. However, input costs averaging ₹18 to ₹20 per kg — covering seeds, fertilisers, labour, and transport — have led to severe financial losses for cultivators. The convergence of adverse weather and geopolitical bottlenecks has caused wholesale prices to collapse to a fraction of production costs.

What Comes Next

The Wednesday meeting between state and central officials is expected to shape the next round of market interventions for onion growers. On the fuel front, the government has signalled that enforcement action against hoarders and commercial diverters is imminent. Both issues are testing the Mahayuti government's administrative bandwidth at a critical juncture.